A BAD CREDIT SCORE IS EXPENSIVE!
You probably not aware of how much this cost can add up to your overall payment amount In many cases it can be thousands of dollars.
YES That's RIGHT, THOUSANDS!
Having BAD CREDIT is equal to HIGH INTEREST RATES, the additional money you pay for MORTGAGES, CAR LOANS, CREDIT CARDS and INSURANCE - compared with those with GOOD CREDIT SCORE. Can reach the six figures over 30 years!
According to FICO on a MORTGAGE loan having bad credit score can be ( 620 points to 659 points) your interest rate can be from 5.3% to 4.7%.
having a GOOD Credit Score can be ( 700 points to 850 points ) your interest rate can be from 3.9% to 3.7% or less.
According to FICO on a CAR LOAN with a bad credit score ( 500 points to 619 points)your interest rates can be from 17.1% to 16.0%.
Having a Great Credit Score Can be ( 690 points to 850 points ) your interest rates can be from 5.8% to 4.5% or less.
On Credit Cards its l bit difference. For example, If two people with the same credit card. Both had a debt of $2,200 over the span 30 years. But the person with good credit had a interest rate of 9% and the person with bad credit had an interest rate on 20%, the person with the bad credit will end up paying more that $7,000 over 30-years period.
More and more employers pull your credit report when applying for a job.
Because many of them see a risk in employing a person with bad credit. An employer might find you unreliable because of your negative accounts .This can also be true with career promotions. For example, people in the armed forces may not be able to get clearance for classified documents and areas due to bad credit, therefore blocking potential advancement.