Attention: 8 Authentic Facts When Understanding Credit Worthiness

Feb. 25, 2011 - PRLog -- 1.Current debt – to see if you are able to take on more debt


2. Payment history – to see if you have paid your bills on time


3. Public records, such as bankruptcies, judgments and liens


4. Types of financing you've successfully managed


5. Length of your credit history


6. Recent Credit activity, including new accounts and credit inquiries by other lenders


7. Collection accounts- Are Your current credit accounts in collection?

Higher scores save you money

When you apply for credit – whether it's a credit card, a car loan, a personal loan or mortgage – lenders need to understand how risky you are as a borrower in order to make a good decision. Your credit scores not only affect lenders' decisions to grant you credit, but also how much credit and on what terms (interest rate, for example). Keep in mind that scores are only one of many factors lenders consider when making a credit decision.

Visit http://creditscoresandcredit.com for details

Taking steps to improve your credit score can help you qualify for better rates from lenders. Generally, the higher your score, the lower your interest rate and payments. The difference between a credit score of 620 and 760, for example, can be tens of thousands of dollars over the life of a loan.

A higher score can result in huge savings on a new loan. Take the example of borrowing $230,000 on a 30-year mortgage. A borrower with a score of 760 could pay $221 less each month in interest as compared to a borrower with a credit score of 630. That's a savings of $79,560 over the life of the loan.

On a $20,000, 48-month auto loan, the borrower with a mid-score of 720 could pay $136 less each month in interest as compared to a borrower with a mid-score of 580. That's a savings of $6,528 over the life of the loan.

If you feel you need affordable help or need expert advice? Call 704-877-8739 and talk to Wanda Strickfaden our Credit Consultant of the Year.

www.Improvecreditconsultingfirm.com
www.icdebt.com
www.improvecredit.biz
www.creditscoresandcredit.com

www.fico.com

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Award winning company serving credit challenged consumers nationwide. Using our programs our consumers see results that improve credit scores and help them buy a home or refinance. Most results are within 30-90 days depending on the consumer.