Credit Score Scale strategies to get your scores high
Credit Score Scale strategies to get your scores high
Have you checked your credit score scale ranking lately? You should if you are thinking of applying for a loan to ease out a tight financial situation. Start by paying attention to your historical credit transactions before you visit banks and other financial lenders. If your records are negative in the credit score scale you are at a disadvantage as you will be requested to make a hefty down payment in addition to being levied higher than average interest rates on your loan. When the credit score is significantly depreciated there is also a possibility of your application being turned down without consideration.
Knowing the credit score scale.
Credit score is a determining factor when it comes to passing eligibility for credit card applications, loan or any other financial resource. You can either make money or loose money depending on the level of your understanding of credit scores and its functions. A credit score is calculated depending on a persons historical credit transactions and is shown by a three digital numeric number.
The Fair Isaac Corporation has established a scale where a credit score can range anywhere between 300 to 850. Credit score scale is this numeric grading scale that will reflect a person's credibility and risk factors according to the specific numeric position in the scale.
You can check out your credit score by requesting for a copy of your credit report by contacting any of the credit bureaus empowered for the purpose. If your credit score scale reflects a position below 500 you should start paying immediate attention on credit repair measures. This will be a red light to lending companies showing them you are a high risk borrower with bad credit history. However, if the credit score scale reflects a score over 700 you can easily sail away with an optimal loan facility. If you notice that your credit score range from 600 to 700 then your score is at average levels and you can pursue ways of augmenting the score to reach a higher level in the scale in order to achieve a healthier credibility.
Credit eligibility and credit scores act in a contradictory role. Meaning if your credit score is high you are charged lower interest rates taking in to account the low risk factor and vice versa.
So rather than being disappointed later due to rejected credit card applications or being encumbered with higher interest rates plan your credit movements wisely and don't forget to check out where you stand in the credit score scale.