A good credit score is 670 to 739.
Whenever the credit score is high, this means that a borrower is lower risk and more likely to make on-time payments.
Credit scores are often used to help determine the whether someone will pay what they owe on debts such as loans, mortgages, credit cards, rent etc.
Just so you, Lenders often make use credit scores to evaluate loan qualification, credit limit and interest rate.
Factors That Affects Your Credit Scores
1. Credit usage
2. Length of credit history
3. Types of accounts
4. Payment history
Why A Good Credit Score Is Important
A good credit can make help your financial and personal goals. This can directly impact how much you will pay in interest if you're approved for a loan.
It could also be the difference between qualifying or being denied for an important loan whenever you choose to apply.
How to Improve Your Credit Scores
There are several factors can also impact your scores but here's a few that can help you:
1. You apply for credit when you need it.
2. Make sure that you Keep your credit card balances low
3. Ensure that you Open accounts that will be reported to the credit bureaus
4. Make sure that your minimum payment and make all debt payments on time.
No comments:
Post a Comment