Your Credit Score

Mon, 21 Jul 2008 00:03:00 -0400

Your credit score and income are the determining factors when it comes to obtaining a loan. It is the most important factor when deciding your interest rate. The interest rate is the measure of the risk of allowing you to borrow money. The lower your credit score the higher of a risk you are and vice versa. To qualify for a low interest rate mortgage your credit score must be above a 700. Your credit score is affected by your consistency to pay on time, every time, your debt to limit ratio, and the frequency of credit checks. Paying your bill on time, every time shows responsibility and stability. Your debt to limit ratio is the amount of debt you have on your accounts to the maximum allowed. Therefore try not to have high balances on your cards. Do not consolidate all your cards’ balances to one and close the other accounts. It will raise your debt to limit ratio. Keep that debt dispersed among the cards. The more your credit is checked the more it looks like you are requesting for additional credit and ultimately that your finances are not in order or even there. Remember that debt is good to build your credit but too much is not.

Contact us about current Litchfield Beach South Carolina interest rates. We specialize in Litchfield Beach SC real estate and vacation rentals.

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Your Credit Score