Bad Credit Can Empty Your Wallet

It is common knowledge that banks and credit card companies are hesitant to finance individuals with Ugly Credit but did you know that IF they do extend credit, the out-of-pocket expense to you can be costly.

Mortgages – The average mortgage rate for a house valued at $200,000 with 20{cd210233548fb516dd6eab2e63a2cae88670bfe7300aa34854d1648ca717978d} down on a 30 year note and a credit score of 740 is 4.25{cd210233548fb516dd6eab2e63a2cae88670bfe7300aa34854d1648ca717978d}. The monthly mortgage cost is $984. Take the same scenario but with a credit score of 660. The monthly mortgage will be $1,028 with an average mortgage rate of 4.625{cd210233548fb516dd6eab2e63a2cae88670bfe7300aa34854d1648ca717978d}. The difference is $45 per month or $540 per year and worse $16,200 on the life of the loan. If you have less then a 660 credit score you may not even qualify for a mortgage.

Employment – Many companies require credit checks on applicants. Banks, credit unions and other businesses that have access to cash will not hire individuals with low or bad credit scores as they are considered high risk for theft or mismanagement of funds.

Rentals – Most landlords pull a credit report on their prospective tenants. Those with bad or poor credit may either be required to pay a higher deposit or could be denied housing all together.

Health – It is not unimaginable that those with a lower credit score are stretching their paychecks a little farther each month than those in more comfortable financial situations. They are either stressed out which can lead to sickness or do not have the cash to visit a doctor when necessary. Some are forced to wait until their physical condition is dire or even death occurs.

Relationships – Stress is never good for a relationship especially when finances are already in trouble. Married couples divorce which can add more financial debt to the equation or they stay in a miserable marriage which can be harmful to not only them but children too.

Take good care of your credit score to avoid higher interest rates, deposits and increase your overall health.

Order the CreditUgly Do It Yourself Credit Repair and Financial Software to Fix your Ugly Credit now.