Skip to main content


Showing posts with the label Credit Scores

Your Credit Scores Again

Your Credit Scores Again
It's important for every consumer to​ learn what a​ credit score is​ and how to​ improve it .​
Most consumers do not know what their credit scores are,​ but these scores are used in​ dealings with such diverse agencies as​ credit card companies,​ home equity lenders,​ auto loan lenders,​ and finance companies when considering appications for credit or​ loans.
Credit scores are usually calculated by a​ computer model created,​ most often,​ by Fair,​ Isaac & Company (or FICO,​ leading to​ the​ common generic term FICO score) .​
a​ credit score is​ intended to​ be a​ predictive summary of​ a​ loan applicant's credit history .​
a​ low score can mean denial of​ a​ credit card or​ loan,​ or​ if​ the​ application is​ accepted,​ a​ higher interest rate .​
Also,​ some lenders use credit scores and other information to​ set the​ price for processing a​ loan .​
Statistically,​ low credit scores also correlate with other risky behaviors such as​ fraud and auto a…

Your Credit Score Your Car Insurance Costs

Your Credit Score & Your Car Insurance Costs
It’s certainly no secret today that your credit score goes with you​ just about everywhere when it​ comes to​ purchasing something on​ time .​
However,​ if​ you​ think your credit score only comes into play when you​ are applying for a​ loan you​ need to​ re-think that.
When it​ comes to​ car insurance,​ many insurance companies will also take your credit score into consideration when it​ comes to​ determining the​ cost of​ your coverage or​ even coverage at​ all if​ you​ are applying for insurance.
Even with a​ spotless driving record,​ this can be the​ case.
You see,​ for insurance companies,​ it’s all about statistics and risk factors .​
Many insurance companies believe that mediocre to​ poor credit ratings equate to​ higher insurance risks.
So,​ if​ you’re not the​ best at​ getting your credit card payments in​ the​ mail on​ time you​ may want to​ stop and think about changing your payment habits and make more of​ an​ effort to​ improve …

Your Credit Score It Is Important You Understand It

Your Credit Score - It is​ Important you​ Understand It
A persons credit score is​ one of​ the​ most important numbers they will ever deal with .​
a​ credit score is​ used by many different companies to​ determine the​ credit worthiness of​ a​ person .​
Almost every business a​ person deals with from utility companies to​ banks are interested in​ their credit score.
The credit score is​ based upon the​ things reported in​ the​ credit report .​
The higher the​ score,​ the​ better .​
a​ higher score means lower interest rates and an​ easier time getting lines of​ credit .​
a​ credit score is​ made up of​ the​ following information:
- 35% is​ based upon the​ persons payment history .​
It will be affected by making payments or​ not making payments.
- 30% is​ based upon outstanding debt .​
This is​ any debt that is​ yet to​ be paid.
- 15% is​ based upon the​ length of​ time the​ person has had an​ established credit history.
- 10% is​ based upon the​ inquires made into the​ account .​
This is​ t…

Your Credit Score Can Be Destroyed By Simple Credit Inquiries

Your Credit Score Can Be Destroyed By Simple Credit Inquiries
What you​ don't know about credit inquires can destroy your credit score and effect what you​ can qualify for .​
Whether you​ are shopping for a​ cell phone,​ car,​ home loan,​ insurance,​ or​ just curious about wanting to​ see what you​ could qualify for,​ a​ credit inquiry can cost you​ points on​ your credit score .​
Even a​ reduction in​ credit points may seem trivial .​
a​ change in​ credit points over a​ 30 year period can cost 1000's if​ not 10,​000's of​ dollars in​ higher interest payments .​
Furthermore to​ some it​ can mean the​ difference of​ being able to​ qualify for a​ home,​ car,​ or​ other financing that is​ necessary in​ today's world .​
Usually a​ credit inquiry will result in​ a​ less than a​ five point reduction in​ your credit score .​
However with multiple inquiries comes the​ likelihood that the​ score will plummet and the​ interest rates for purchases will go up .​
This will result in…

You Are Your Credit Scores Worst Enemy

You Are Your Credit Score's Worst Enemy
When applying for loans,​ credit cards,​ or​ even trying to​ lease a​ new apartment your credit score is​ the​ major determinant of​ how well you​ will fair .​
Ironically very few people know what their credit score is​ and are not aware of​ the​ fact that they may be doing various things to​ hurt their credit score .​
If a​ high credit score is​ important to​ you,​ and it​ should be,​ beware of​ the​ following things to​ keep your credit score in​ check.
Have you​ ever had one of​ those months where everything seems to​ pile up and you​ just can’t make ends meet? you​ take a​ look at​ what you​ owe,​ who you​ owe it​ to,​ and finally decide that the​ credit card payment is​ going to​ have to​ wait until the​ next check .​
Not even that,​ lets cay you​ just forget to​ make your credit card payment on​ time .​
This is​ the​ first and most common mistake: missing payments or​ making late payments .​
If you​ know it​ or​ not every time you​ make …

Working With Your Credit Score

Working With Your Credit Score
When you​ see advertisement after advertisement on​ television of​ businesses who want you​ to​ find out your free credit score,​ that is​ a​ red flag that someone is​ looking to​ make some money off of​ you. the​ funny thing is​ they are not lying to​ you​ but at​ the​ same time,​ you​ are exactly right that those companies paying good money for television advertising are looking to​ make a​ buck off of​ you.
The truth is,​ you​ can actually find out what your credit report says about you. What they are telling you​ about that is​ true. Your credit report tells you​ your credit score which helps you​ understand how creditors see you​ which is​ important if​ you​ go to​ get a​ new loan. But your credit report also shows a​ detailed history of​ your past use of​ credit,​ currently open accounts and anyone who has checked your credit score in​ the​ last year.
This is​ important information for you​ because anyone can check your credit repo…

Work Related Credit Checks How To Handle Them If You Have A Poor Credit Score

Work Related Credit Checks: How to​ Handle Them If you​ Have a​ Poor Credit Score
When many of​ us think of​ credit history,​ credit scores,​ or​ credit ratings,​ financial loans are often the​ first things that come to​ mind .​
While financial lenders are known for their regular use of​ credit checks,​ did you​ know that employers are also starting to​ perform credit checks on​ their new hires? They are and if​ you​ are looking for a​ career change,​ this may have a​ negative impact on​ your ability to​ obtain the​ job of​ your dreams.
When it​ comes to​ employment and credit checks,​ you​ are either concerned or​ not concerned at​ all .​
If you​ have a​ poor credit score,​ you​ may be unsure as​ to​ whether or​ not you​ should even apply for certain jobs .​
In the​ past,​ many financial institutions and insurance companies required credit checks,​ but now more and more employers are starting to​ do the​ same .​
in​ fact,​ if​ you​ are looking to​ work in​ a​ fast food restaurant o…

Why Your Credit Score Is More Important Than You Realize

Why Your Credit Score is​ More Important Than you​ Realize
There are many misconceptions and false information about credit scores which lead many debtors to​ believe that they are not important .​
There are even debtors who think they do not have a​ credit score at​ all .​
But the​ truth is,​ these false beliefs about their credit scores can greatly affect not only their financial life but their life as​ a​ whole,​ too .​
Let me explain .​
If you​ happen to​ have a​ bank account or​ bills to​ pay,​ then you​ do have a​ credit score,​ which is​ more important than you​ may have realized .​
Your credit score,​ which is​ also referred to​ as​ your credit rating,​ FICO score,​ FICO rating or​ credit risk score,​ is​ that all-important three-digit number that lets lenders have an​ idea how well you​ repay your bills and handle your finances.
When you​ apply for credit loan,​ lenders look at​ your credit score to​ let them know if​ you​ are a​ good credit risk or​ not .​
In other words,​ if​…

Why Is Your Credit Score Important

Why is​ your credit score important?
Credit scores – especially FICO® scores,​ the​ most widely used credit bureau scores – have made big improvements in​ the​ credit process .​
Because of​ credit scores:
People can get loans faster .​
Scores can be delivered almost instantaneously,​ helping lenders speed up loan approvals .​
Today many credit decisions can be made within minutes .​
Even a​ mortgage application can be approved in​ hours instead of​ weeks for borrowers who score above a​ lender's score cutoff .​
Scoring also allows retail stores,​ Internet sites and other lenders to​ make instant credit decisions.
Credit decisions are fairer .​
Using credit scoring,​ lenders can focus only on​ the​ facts related to​ credit risk,​ rather than their personal feelings .​
Factors like your gender,​ race,​ religion,​ nationality and marital status are not considered by credit scoring.
Credit mistakes count for less .​
If you​ have had poor credit performance in​ the​ past,​ credit scor…

Why A Good Credit Score Is Important To Your Business

Why a​ Good Credit Score is​ Important to​ Your Business
Do you​ know your credit score is?
Do you​ even know WHAT a​ credit score is?
Don't feel bad.
Most people don't.
Your credit score tells lenders the​ type of​ borrower you​ will likely be based on​ your credit history .​
Scores in​ the​ United States run between 300 and 950.
The higher your score the​ more likely is​ it​ that you​ will be approved for loans at​ favorable rates and payment terms.
You might think your credit score is​ not a​ big deal unless you​ are trying to​ get a​ home mortgage or​ a​ new car loan,​ but in​ business your credit score is​ just as​ important.
Consider this:
You may want to​ apply for a​ personal loan to​ fund the​ startup of​ your business .​
As your business grows you​ may want to​ set up a​ line of​ credit with a​ bank to​ help manage cash flow.
You may need to​ purchase a​ building of​ your own .​
you​ may need to​ establish lines of​ credit with vendors and suppliers.
Even if​ you​ just want t…

When Your Credit Score Isn T Really Your Credit Score

When Your Credit Score Isnt Really Your Credit Score
Many articles have been written about the​ importance of​ having healthy credit. and nowhere is​ the​ state of​ your credit more important than when you​ apply for a​ home loan. For most people,​ a​ house is​ the​ most expensive thing they will ever buy and the​ overall health of​ your credit determines whether or​ not a​ lender will offer you​ an affordable home loan. Since the​ most common measure of​ financial health is​ a​ credit score,​ most potential buyers are urged by wellmeaning sources to​ check your credit score before you​ apply. Many wouldbe homebuyers head to​ the​ Internet to​ do just that,​ and seeing that their score is​ sufficient,​ they head off,​ score in​ hand,​ to​ meet with a​ lender to​ discuss potential loans.
And then the​ lender drops the​ bomb Sorry,​ but your credit score is​ too low. you​ dont qualify for the​ best interest rate.
What happened? How can the​ credit score you​ buy be …

When Your Credit Score Become Important

When Your Credit Score Become Important?
Have you​ ever wonder why your online application for credit can be approved in​ 60 seconds? Or get pre-qualified auto loan for a​ car without asking you​ how much is​ your income? Or why your interest rates on​ loans are different from the​ interest rates of​ your friends or​ neighbors?
Your credit scoring is​ the​ factor that affect all the​ above .​
It is​ your responsibility to​ main a​ good credit score .​
You will need to​ use it​ to​ get you​ a​ best available rate when come to​ apply for credit .​
What is​ Credit Score?
Most of​ time credit score is​ refer as​ FICO score (Fair Isaac Corporation),​ it​ is​ a​ number based on​ the​ information in​ your credit file that shows how likely you​ are to​ pay a​ loan back on​ time,​ the​ higher your score,​ the​ less risky you​ are .​
You credit score is​ derived from three major credit bureaus: Exprian,​ Equifax and TransUnion .​
These 3 major credit bureaus will compile your credit report based …

Whats Your Credit Score Not Knowing Could Cost You

What’s Your Credit Score? Not Knowing Could Cost You
When you​ go online and apply for a​ credit card,​ how can you​ get your results in​ a​ matter of​ seconds? the​ answer is​ your credit score .​
This little number packs a​ big punch and can make the​ difference between getting approved for a​ car loan,​ a​ great rate on​ your mortgage,​ or​ getting turned down for everything credit related that you​ apply for in​ life .​
The credit score ranges from 300 to​ 800 .​
Your specific score is​ result of​ a​ special formula,​ called an​ algorithm,​ which compares your credit information to​ the​ credit information of​ tens of​ millions of​ other people .​
The number that they get as​ a​ result is​ a​ very accurate prediction of​ how likely you​ are to​ pay your debts.
This may seem unfair,​ but your credit score is​ based on​ a​ number of​ factors .​
They look at​ your payment history for every listing on​ your credit report,​ the​ total amount of​ outstanding debt you​ have,​ and the​ leng…

What You Can Do To Improve Your Credit Score

What you​ Can Do to​ Improve Your Credit Score
It is​ hard to​ watch television these days without hearing about credit scores .​
If you​ are not looking to​ get a​ loan or​ credit card,​ you​ may be wandering whether or​ not they are important .​
Your credit score is​ important,​ regardless of​ whether or​ not you​ plan on​ applying for a​ credit card or​ loan .​
In this article I​ will explain what a​ credit score is​ and why it​ is​ important.
What is​ a​ Credit Score?
Your credit score will determine whether or​ not you'll be approved for a​ mortgage loan,​ and how high your interest rate will be .​
Your credit score will also determine the​ cost of​ your car insurance .​
Even certain jobs,​ which you​ apply for,​ will require you​ to​ have good credit .​
Having a​ low score will make things much more expensive,​ and you​ may find that some companies won't hire you​ .​
The easiest way to​ get a​ good score is​ to​ make sure you're responsible with making your payments on​…

What Is Default And How Does It Affect My Credit Score

What is​ Default And How Does It Affect My Credit Score?
In simple terms,​ a​ loan default is​ when you​ have not made your agreed upon loan payments to​ the​ lender .​
There can be any number of​ reasons why a​ consumer may not have made payments,​ but once a​ certain period of​ time has elapsed,​ that non-payment record will become a​ part of​ the​ consumer's credit history .​
Once it​ becomes a​ part of​ the​ credit history (or credit record) it​ is​ available to​ be used during the​ formulation of​ the​ consumer's credit score.
Default can occur with any type of​ loan .​
Student loans,​ home loans,​ auto,​ SBA,​ 401k,​ and payday loans are all susceptible to​ loan default .​
One of​ the​ most common loans where default happens is​ with credit cards.
Consumers should understand that default is​ not the​ same as​ deferment .​
a​ deferment is​ a​ plan in​ which the​ payment is​ postponed by mutual agreement between the​ lender and the​ borrower .​
There are many types of​ deferm…

What Is Considered A Good Credit Score

What is​ Considered a​ Good Credit Score
What is​ a​ considered a​ good credit score? a​ lot of​ experts say that you​ should get a​ score of​ 700 and above so that you​ are able to​ get a​ loan at​ a​ lower interest rate .​
Is this easy to​ achieve? Given that 60% of​ Americans can do,​ then the​ answer is​ yes .​
You just have to​ pay your bills and debts on​ time to​ avoid incurring any penalties that could have a​ red flag on​ your credit report .​
The reason why there are still people who cannot get a​ good credit score is​ because they have spend beyond their means .​
They are unable to​ resist the​ temptation to​ use that piece of​ plastic in​ a​ store thinking that they can get away just paying the​ minimum requirement monthly but the​ difference grows thanks to​ interest .​
What happens is​ that they encounter late payments and are marked as​ unpaid .​
This is​ then reflected in​ their credit report which creditors will see and will make applying for a​ loan difficult to​ almo…

What Is A Good Credit Score

What is​ a​ Good Credit Score
Your credit score has a​ profound effect in​ terms of​ the​ interest rate you​ will be paying when you​ apply for a​ loan .​
This is​ the​ basis that lenders use to​ determine if​ you​ will be able to​ pay for the​ amount in​ the​ future and if​ you​ need money to​ pay for college or​ renovate the​ home,​ it​ is​ good to​ know what it​ means to​ have a​ good credit score?
The credit score ranges from 340 to​ 850 .​
Creditors determine this by reviewing your payment history,​ amounts that you​ owe,​ the​ length of​ your credit history,​ the​ types of​ credits you​ have used and new credit .​
If your credit score is​ over 700,​ then you​ have a​ good credit score .​
This means you​ are more likely to​ receive other financing options and better interests compared to​ someone who scored lower .​
Majority of​ Americans approximately 60% of​ them have a​ good credit score .​
This means that while many of​ us are doing well,​ there are others who need to​ improve …

What Is A Good Credit Score How Can I Raise Mine

What is​ a​ Good Credit Score – How Can I​ Raise Mine?
What is​ a​ good credit score? When you​ request a​ free copy of​ your credit report,​ you​ will find a​ score assigned to​ your credit history .​
This score will determine whether or​ not creditors will grant you​ the​ loan or​ credit that you​ want because it​ gives them an​ idea of​ your risk to​ repay .​
Generally,​ the​ answer to​ the​ question what is​ a​ good credit score? is​ the​ higher the​ better.
Once you​ have your credit report in​ your hands your first question should be What is​ a​ good credit score and what is​ my credit score? Each credit bureau has its own method of​ computing the​ credit scores and by themselves they don’t really mean much .​
When the​ score is​ combined with your credit history,​ creditors can see at​ a​ glance how much money you​ owe and whether or​ not you​ have a​ good score .​
The scores range from 350 to​ 650,​ so if​ you​ are in​ the​ lower end of​ the​ score,​ then you​ will probably star…

What Is A Credit Score

What is​ a​ Credit Score?
Whenever you​ approach a​ commercial lender for loan,​ he performs a​ credit check on​ you​ .​
The loan you​ have applied for can be home loan,​ business loan or​ loan for your dream vacation trip .​
It is​ your credit score that will decide whether your application will be accepted or​ not,​ if​ accepted what amount of​ interest you​ will be charged .​
Your credit score will also be checked even when you​ apply for an​ insurance cover or​ you​ want to​ rent a​ house and even when you​ apply for a​ job.
What is​ a​ credit score? a​ credit score is​ a​ number that signifies your credit information .​
This score is​ used by all financial institutions or​ individual lenders to​ assess the​ risk involved in​ giving you​ credit .​
The credit score is​ calculated on​ the​ base of​ the​ following .​
• Address .​
• Salary .​
• Credit Dept .​
• Bankruptcies .​
Using the​ above factors an​ algorithm is​ decided and using this algorithm a​ credit score is​ generated .​

What Is A Credit Report Score

What is​ a​ Credit Report Score
A credit repot score is​ the​ basis used by lenders to​ determine if​ your loan application will be approved or​ not .​
If your credit report score is​ above 700,​ there won’t be any problems and your loan will be granted with low interest rates .​
If however you​ score below this figure,​ you​ will be charged a​ higher interest rate and in​ the​ most extreme cases,​ they will not approve your loan application .​
But how do creditors come up with this figure? Basically,​ they do this by reviewing credit related information such as​ your payment history to​ find out if​ you​ have ever had any late payments or​ filed for bankruptcy .​
They will also check how much money you​ owe not only on​ your credit card bill but also outstanding loans .​
They will also take into account the​ length of​ your credit history .​
Also,​ a​ lot of​ people apply for new credit and a​ few other minor factors that could bring up or​ down your credit score .​
What is​ not in​ …