|
Five Critical Facts About Credit Scores
Scores reflect only one’s own past credit history, not personal characteristics such as age and gender. A low score could not only increase finance charges, but also deny access to credit, insurance, utilities, or even a job. Consumers with scores below 600 are typically charged relatively high, subprime loan rates, while those with scores above 700 are usually charged relatively low rates. The most effective steps to improve a score are to:
- Pay your bills consistently and on time;
- Don’t max-out your credit cards;
- Pay off debt rather than moving it around and don’t open many new accounts rapidly
- Check you credit report to make sure it is correct.
Information obtained from the ABA Bank Compliance
|
