All lending companies are strict when it comes to the creditworthiness of their customers. It is important that they are able to determine if their debtor is responsible when paying off their loans because this is where their business lies. If you have a poor credit history, chances are you will have difficulties getting approved for a mortgage loan or any loan for that matter. Companies can also charge you with higher interest rates than someone with a better credit standing.
Some lenders though, offer low credit score mortgage services for people who would like to get sufficient amounts of financial backing. You’ll have a lot of reasonable options you can take advantage of your mortgage demands along with the perfect loan programs to help you achieve your financial goals.
Useful Tips for a Better Credit Score
Paying your bills promptly can make a difference with your credit standing. If you are always updated with what you need to pay, you can surely avoid overdue balance that eventually leads to better credibility. Knowing your bill’s due can help you get rid of any unwanted charge that could crop up later on your credit report.
Additionally, whether you are about to apply for a loan or a new credit card, watching your credit report is of utmost importance. Financial stability has a lot to do with how good your credit score is, and it starts with having a stable income and employment. Leaving old debts from your report also significantly impacts your credit ratings as it spells what your financial outlooks are.
Certainly, no one wants to receive follow-up calls from collecting agencies about a towering unpaid balance. Carrying bunch of debts hurts your credit score and can certainly affect you financially. Things you can do includes paying a small amount on each debt every month, just enough deposit that you can afford. You may also want to contact your lenders to set up payment arrangements for your bills or negotiate about giving you options to settle your debt to keep your credit ratings up. Running away from your responsibilities would do you no good but facing your lenders and explaining your situation would provide opportunities to settle your debt.
Keep Credit Thresholds Up by Keeping your Old Credit Cards
If you have old credit cards, you might want to keep them to maintain an excellent credit rating. Closing your old credit card means that the card issuer will no longer send updates to the credit bureaus, voiding your credit history and thus dropping your credit score. You need to maintain your credit balances to a maximum of 30% of your available credit, closing a card reduces the threshold of your credit limit. As a result, it will lower your credit score.
Lastly, don’t forget to view your options for low credit score mortgage by visiting Amerisouth at Sardis Road North in Charlotte or you may also contact us at (704) -845-9400.