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Bad Credit
Only when you understand what a bad credit score costs you can you truly
appreciate why repairing bad credit is so important.
Do you have any idea the extent to which bad credit can affect your
ability to borrow? Most people are not aware of the profound impact that
a negative credit report has on their financial well being. Many believe
that if a bank loans them money, they must not have a bad credit score
or a substandard credit rating. This is not necessarily true. At what
cost did the bank lend them money?
Those with bad credit are charged much higher fees to borrow money than
those with good credit. The bottom line is that bad credit costs you
more money - period. Often, a poor credit score costs you much more than
you know.
The first step in fixing bad credit is knowing what your credit score
is.
Submit a FREE, NO OBLIGATION
credit repair evaluation form!
Understand how credit repair
services can improve your credit report.
Some examples below easily demonstrate what the true costs of bad credit
can be.
Automobile Financing
When you make payments for a typical car loan, you are likely paying
anywhere from $5-9 thousand dollars more as a result of bad credit.
Consider a $20,000 car paid for over a period of 5 years:
If your credit status is excellent, you'll pay about 10% for a total of
$424.94.
If you have mildly bad credit, you'll pay around 14%, costing you
$4,722.54 over 5 years.
If you have bad credit, you'll pay around 20%, costing you $8,593.30
over 5 years.
Consider a mortgage on a house.
As the above example illustrates, bad credit with a car loan is serious.
This pales in comparison to what bad credit costs you with a mortgage.
Bad credit will cost you anywhere from $50-130 thousand dollars more in
interest for an average home.
$100,000 house paid for over a period of 30 years:
If you have no bad credit, you'll likely get a 7% interest rate.
If you have mildly bad credit, you're likely to get 9%, costing you an
extra $50,155.24
If you have bad credit, you'll get around 12%, costing you $130,791.63
more over 30 years!
These examples demonstrate that bad credit is no small matter.
This is why it is imperative to repair bad credit as soon as possible.
The fact is that houses and cars are only one of the multitude of things
you are paying more for as a result of bad credit. Repairing bad credit
is essential.
Learn how to build credit so you can
borrow for less.
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