Do You Really Understand Your Credit Score?
Maintaining a healthy level of credit score will keep getting you more loans. You might want to what are the ways to improve your credit score? Well, before that, we must know what a good Experian credit score scale is.
A score above 720 will be rated as excellent and the lender will term you as a low risk customer and offer you the best interest rates on your loan. Staying over the 680 mark is very important for you to get the best terms on your loans. The scores of 620-679 will increase the concern for default on loans and getting best pricing may become tough. You shall not become eligible for certain loan programs with this level of scoring. The below 620 score will make it impossible to get reasonable bank loans. And even if you qualify for a loan, the interest terms offered will be very high.
However, if you have an above 580 credit score then it is possible to take it to the next level with the right kind of credit report advice and approach. The first thing to do is to check up your annual credit report. There are people who have never faced any problems in getting car loans, credit cards and mortgages. But it is also a fact that more than 90% of people have positive credit score reports. But sometimes, error can be committed in compiling a report. If such thing happens, it may be come extremely difficult for you to rectify.
You have to make sure that the report is accurate and reflects your creditworthiness in a fair way. The FCRA or Fair Credit Reporting Act offers the Americans the chance to go through the contents of their credit report to verify the information being shared with others is complete and proper.
Making sure that your credit report advice is complete and correct in all respects is the first step towards improving your credit score.