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Discovering A Better Motorcycle Loan With A Better Credit Score
It is common knowledge that motorcycle financing companies’ base high importance on your FICO credit scores when approving motorcycle loans. However, what many people overlook is that their FICO credit score can dramatically impact the term on their...
Fixing Your Credit Score Doesn't Have To Cost You
Credit repair advertisements claim to guarantee a quick fix on your credit report. They promise for a fee (not always disclosed at first) to clean up your credit history so that you can qualify for a new home, car, insurance, a job, or premium...
Managing Credit Cards Effectively
Credit cards are almost a necessity in today's society. It has become harder and harder to get through life without plastic. If you want to make purchases over the Internet, guarantee a hotel room, or perform a wide variety of other financial...
The Advantages of Airline Credit Cards
Credit card companies are becoming very competitive. With the
use of credit cards becoming an everyday part of life, credit
card companies are scurrying to get your business. Many credit
card companies have teamed up with other companies to...
What is Credit Counselling?
Ever wondered what is Credit Counselling? There are occasions when you might encounter a financial situation that is beyond your scope which is when a session with a credit counsellor could be beneficial. If you're not disciplined enough to create...
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Credit Report Scores - Why it is important for your finances
The airwaves these days seem to be full of advertisements for consumers to obtain their credit reports and also apply for credit cards. Apart from encouraging consumers to obtain their credit reports, consumers are not told and do not fully understand why it is that important. Most people, after all, can obtain a credit card with an interest rate of say, 24.95%, and can afford to make the repayments spread over a very long period of time. The emphasis seems to be on "yes, I can afford the repayment". And so many consumers start with one credit card and go on to two, then three, four, five, six and on and on it goes. There are consumers who have balances on more than twelve credit cards. They have literally surrendered their financial will to credit institutions that rule over their lives. The sad thing about this situation is that the more credit card balances you have the lower your credit score, and the smaller the chance for you to obtain a loan for an important purchase like a house.
The way credit reports and credit cards are touted these days by financial institutions, one would think that these two "entities" share a common positive association. Nothing could be further from the truth. Yes, you can establish an initial credit profile by applying for one or two credit cards. Nobody is going to argue with that position. When you start on your fourth credit card, that's when trouble begins.
Credit costs a lot of money. Obtaining a loan, any loan is not cheap, and will surely burn a hole in your pocket (take some time to examine and acquaint yourself with how much money your mortgage will cost you). How big a hole it burns depends on you; in other words, the interest rate that you are prepared to pay on the loan. This is what distinguishes the average "Joe" from a millionaire when they both obtain credit from the bank. The millionaire almost certainly has tangible collateral
and constitutes less risk to the bank. Joe's tangible collateral, on the other hand, is non-existent.
In the eyes of the bank Joe's only collateral is his credit report and fico score. He is therefore more of a credit risk than the millionaire. Therefore, in terms of risk, do consumers have a deep understanding of how much of a risk banks see them when they have low credit scores as a result of bad credit reports? If I were the loan officer, Joe is surely not getting any loan from my bank! Or even if I were really kind and decided to approve, I would hit Joe with a high interest rate so that I recoup my "investment" as quickly as possible before Joe defaults. With this knowledge, why wouldn't the average consumer try to improve upon his credit score profile?
It is not only defaulting on a loan that would bring your fico score down. Any number of things could do that to you. A tiny piece of negative information on your credit report can ruin your fico score or credit score. Most of the time consumers are not even aware of this negative piece of information because they don't have copies of their credit reports to be able to fix errors. This is why providing basic information on credit report scores is so important.
Without making any assumptions about the financial sophistication of its visitors, Aba Online Credit (http://www.aba-online-credit.com) presents information on the importance of credit report scores in very simple language so that it is not burdensome to the average consumer to read and understand. The website is full of information on nearly every important thing related to credit report score reports and even tells you how to achieve or even improve on your credit score (http://www.aba-online-credit.com/improve_credit.htm)
About the Author
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Credit Reports - Credit Cards - Car Loans - Home Loans - Credit.com |
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www.credit.com |
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National consumer credit reporting company that offers credit reports, FICO(R) credit scores and identity theft protection products to consumers and small ... |
www.equifax.com |
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The FTC's web site on Credit |
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www.ftc.gov |
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Federal Trade Commission - Consumer Credit Center |
Features an assortment of helpful articles related to credit issues. |
www.ftc.gov |
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AnnualCreditReport |
Site set up by the big three credit reporting agencies in the United States, to furnish free annual credit reports, as required by federal law. |
www.annualcreditreport.com |
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Springboard - Non-Profit Consumer Credit Management |
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www.credit.org |
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myFICO - FICO Credit Scores, Online Credit Reports and Identity ... |
myFICO.com: Get your Free credit report and Free credit score with a 30-day trial of Score Watch. All three FICO Scores and Credit Reports Available now ... |
www.myfico.com |
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Credit Suisse Global |
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Experian: Free Credit Report and Credit Score, Credit Check ... |
Credit referencing and consumer targeting for the USA and other countries. |
www.experian.com |
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National Credit Union Administration - Home Page |
An independent federal agency that supervises and insures 7152 federal credit unions and insures 4240 state-chartered credit unions. |
www.ncua.gov |
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Credit - Wikipedia, the free encyclopedia |
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en.wikipedia.org |
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Credit (finance) - Wikipedia, the free encyclopedia |
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en.wikipedia.org |
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The National Foundation for Credit Counseling |
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www.nfcc.org |
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FreeCreditReport.com | Free Credit Report and Credit Score Online ... |
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www.freecreditreport.com |
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Compare over 300 credit cards, including 0% offers and balance transfers, and make a credit card application online... |
www.moneysupermarket.com |
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Ford Credit - Auto financing for Ford, Lincoln and Mercury cars ... |
Ford Credit provides auto financing to finance a lease or purchase a car or truck through Ford, Lincoln or Mercury dealerships. |
www.fordcredit.com |
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The Credit Card Prank |
In my lifetime, I have made nearly 15000 credit card transactions. ... Credit card signatures are a useless mechanism designed to make you feel safe, ... |
www.zug.com |
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Credit magazine, corporate bonds, derivatives, structured credit ... |
Credit magazine provides information on the international credit markets for credit investors, issuers and market professionals. |
www.creditmag.com |
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CUNA: The Credit Union National Association |
News and resource directory about credit unions. |
www.cuna.org |
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Credit/Debt Management - Tools and Advice for Managing Credit and Debt |
Drowning in debt? Trying to improve your credit score? This is the place for you. Get real world information and tips, as well as the legal low down, ... |
credit.about.com |
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