Credit Score Information

Credit Score Truths and Myths

"Credit Score Truths and Myths"Your credit score is the single biggest factor in getting a new home loan. If your score is above 720, you can possibly qualify for a $1 million home with very little money down. If your score is below 500 and you have $1 million in the bank, you may have trouble qualifying for this exact same home. Your interest rate will certainly be different.Credit scores are central to the loan process. Nearly every lender uses them. The better your credit, the lower the risk to the bank, the lower your interest rate.Most lenders use your FICO score to determine whether or not you qualify for a home. It's such an important issue that you and your clients should understand the basics of the credit reporting system and the many myths surrounding it.Credit scores give lenders a fast, objective and impartial snapshot of a person's credit risk based on their credit history. That's why lenders use FICO credit scores when making credit decisions. The higher the individual's score, the lower the risk to lenders when extending new credit to that person. Its fast, easy, and, usually, effective.

We'll have more on credit scores... nowdays it is one of the most critical compotents of buying your dream home.

This is my first post, will be writing more later