“Credit score” becomes a familiar word when you reach the age that you’re finally managing your own finances. At first, you might ask yourself, why is it important? And what is credit score in the first place?
A credit score is a numerical representation of your credit performance. It is based upon the reported credit history of the financial institutions you do business with. Your banks or lenders report to the credit bureaus your financial management habits. Your score determines your credit worthiness for mortgages, loans, or credit card.
This is a FICO score matrix for you.
- 720 and up : excellent credit
- 690-719 : good credit
- 630-689 : fair credit
- 300-629 : bad credit
High credit score means lower risk to lenders.
All lenders do credit investigation before they approve a loan application. Why would a lender do business with a person who has a bad credit record? Of course, banks would lend money only to those who have the capacity to pay them back. In the business world, profitability is always the name of the game. So, pull up your credit score if you want to get approved for an important loan. Call Credit Repair Now.
High credit score positively impacts interest rates.
Lower interest on loans is another advantage of having a good credit rating. Often, financial institutions create interest tiers on their products. If your credit score is high, you will get good interest deals. But if your score is at the bottom, you will get the poorest offer. Worse, you may not qualify for a loan at all. So, if you want to pay less interest on your loans, contact Credit Repair Now.
High credit score reinforces healthy financial habits.
Maintaining a good credit score is not just a game of numbers. It is also habit forming. Be prepared to enjoy financial freedom as soon as you have adapted transformative good financial habits. Do you want to become a money magnet by mastering the art of good financial housekeeping? Get in touch with Credit Repair Now.