What Affects Your Credit Score Negatively

The after effects of the mortgage loan crisis are going to be felt for years to come. Already loan and mortgage lenders are tightening the criteria of lending and you may feel the change when you are out shopping for a loan.

The FICO credit score is the most widely used primary factor to assess you risk as borrower. The score ranges from 300 – 850. The higher the score, the better the interest rates and terms offered to you on credit lines and loans. A score of 700 and above has so far been considered a healthy number, but this is now changing with the lenders becoming more risk averse. The lenders have now upped their criteria for eligibility and better borrowing rates by almost 20 – 40 points. [Read more…]

How Long Does Negative Information Remain on Your Credit Report?

This question haunts the mind of every person who had to go through a rough credit phase and is now stuck with a blemish on his or her credit report. Negative information or history of your bad credit, affects your credit score adversely. This could mean more expensive insurance premiums, higher interest rates on credit cards, loans and mortgages and in extreme cases even decline of credit line. [Read more…]