The credit score plays a vital role in your financial life, so you should be aware of your credit ratings. As you know to qualify for any kind of loan or credit card and even to get a better job it depends on how good credit score you have.
The credit bureaus collect your credit report from the creditors with whom you have different accounts and how you make the payments to them. The numerical scores are created for you depending on the information passed by the creditors. This score is called FICO score and the FICO score plays an important role in your life as whether you want to buy land or a cell phone.
Credit reports and credit scores both are considered very important like credit report is viewed as a mark sheet and credit scores are looked as higher ranks. If you have high ranks it said that you have good credit report. Anybody having credit score more than 600 is considered to have good credit ratings.
In order to obtain reliable mortgage rates, it is very much necessary to have good credit scores. To obtain home loans banks are giving special preference to persons FICO score due to the global recession. Due to excellent credit score you will have an opportunity to secure maximum capital only in interest.
It is always the good credit rating that helps you to get lower rates on insurance, say for instance your credit ratings are thoroughly viewed by auto and the most of the health insurance companies so that they can make the best of it by obtaining the premium on insurance. Most of the time people hardly report case against their policy when the have high credit score, whenever the customers gets reasonable rate on their life, health or auto insurance they get the reward.
Employment opportunities have a great impact only if the credit ratings are good enough. In order to make you good enough regarding money it is the duty of the employers to thoroughly check your past history specially your credit report. So it is very obvious customers having a good credit scores will be treated in a special manner rather than those having bad credit score.
Credit scores play an important role in your daily life. It is very true that if you have a good credit score then you are bound to lead a good life. However it is also important to constantly have a look on your credit because it changes at times and new information is always added.
Go through this article for more information http://www.ftc.gov/bcp/menus/consumer/credit.shtm
This entry was posted on Thursday, June 16th, 2011 at 3:40 pm and is filed under Credit. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.