Bad credit affects every aspect of your life. Everything from whether you can get a job, get approved for a credit card, qualify for an auto loan, mortgage, or even get insurance. Bad credit means you pay higher interest rates when you borrow. Bad credit can impact other expenses, like your car insurance. Insurers have come up with a theory that people who wreck their credit are also more likely to wreck their cars. Bad credit can hurt your ability to find work. Many employers now believe that people who aren’t responsible with their money might not be responsible with their job duties either.
Let's see the cost of bad credit when it comes to a home mortgage. Let’s say you’re borrowing $200,000 on a 30-year fixed mortgage. You have a 620-639 credit score, and you’ll pay 4.88 percent. If you make minimum payments, your total interest bill for that mortgage will amount to $181,248 over 30 years. But if you had a 760 score, you would only pay 3.291 percent and your total interest bill over the life of the loan declines to $114,971.
That means that over the life of that loan, that lower credit score cost you $66,277, now why give away money you don't have to?
Call us for a FREE credit consultation (646) 396-0448
Take control of your credit now! While you continue to wait; the great deal on that car you wanted will be over; the house you dreamed of will be sold; the job you had your heart set on, will be given to someone with a better credit score. Nothing is ever gained by procrastination. Start Your Journey on the Road to Good Credit Today!