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The credit score is one
of the most important determinations of your ability to attain
credit. Creditors and lenders use your credit score to determine
how good a credit risk you are; the higher the score, the better.
Scores range from 300 to 900 with the majority of consumers falling
in the 600 to 700 range. Generally, the range between 620 to 700
is where lenders and creditors want your score to be at. Scores
above 660 are likely to have acceptable credit. The credit risk
for those between 620 and 660 may require a more thorough review.
A score below 620 is generally considered to be unacceptable.
But this is not the only determining factor they use. Lenders
and creditors look at other things such as income. See the point
system for more information.
Here are some tips to maintian or raise your credit score:
1. Pay your bills on time. Delinquent payments have a major
negative impact on a score. If you are having trouble paying your
bills on time, try to negotiate with the creditor before is reflected
negatively on your credit or consult with a debt management or
consolidation company that can help you pay your bills. These
companies offer a variety of options including debt consolidation
with and without having to take a loan.
2. Keep balances on revolving debt at or below 50%.
3. Open new accounts only as needed. Too many inquires are not
good. MyLoanQuote.com offers an easy online prequalification form
you can fill out to have a loan officer discuss with you your
options. This initial part is not a loan application and they
will discuss with you if you want to proceed further after talking
with a loan specialist.
4. Make sure the information on your credit reports are accurate
and dispute information that is not.
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