Credit Score Scale – What is a Good Credit Score?
If you don’t have any idea what goes into your credit score, you can’t do much about it. If you know what elements go into coming up with it and how it is calculated makes it possible for you to have more control over your financial status.
Categories: Credit Score Videos Tags: control, Credit Score, Good Credit Score, idea, possible, what is credit score
How To Improve Your Credit Score
If you don’t have any idea what goes into your credit score, you can’t do much about it. If you know what elements go into coming up with it and how it is calculated makes it possible for you to have more control over your financial status.
Categories: Credit Score Videos Tags: boost credit score, control, Credit Score, goes, idea, improve credit score, possible
Catechizing the Interest of Credit Score if You Don’t Borrow
Almost every other person is now aware that they need to have a good credit score. However, do you actually need a credit score? If you don’t even need to borrow, what would you do with a credit score? You must be shocked to hear this, right? Especially, with all the financial advisors asking you to maintain your credit score, asking you to pay down the debts, believing in what I have said must sound bogus.
Considering the truth
Credit score – why do we need it? We need it so that we can borrow. In order to obtain a mortgage, or a credit score, or even any other type of loan, we require a good credit score. None of the lenders or the creditors would approve your credit application, if you do not have a good credit score.
Nevertheless, what if you do not need to borrow anything in any form? What would you do with a credit score, when you have never thought of borrowing any money? In order to build the credit score, you will have to borrow first. Yes, without actually borrowing any money, it never would be possible to have a credit score under your name. That would mean, you are incurring debts because you need a credit score. Even if you need to borrow, you may not require a credit score as always.
Still, you must be wondering how would it be possible to buy a home without credit score? Is it possible to buy a car without financing it, which again would require you to have a good credit score? Is it possible to rent an apartment without a credit score? What about the insurance policies – can you get any of the insurance policies without a credit score?
It is possible to do all of the above without a credit score. However, the main problem is our society. We have now become totally and completely dependent on a loan and credit cards, and all of the other options through which we borrow. It is mainly with the credit cards that we shop and even make payments on other debts. In fact, businesses too use credit cards for completing their transactions. We can’t even think of the resources which could otherwise be used for buying a car, or renting an apartment and so on. BTW, if necessary you can gather information on credit card consolidation from DebtConsolidationCare.
One of the easiest, but lesser known ways to buy a home without a credit score is the manual underwriting. This is the process in which, the people involved with the process require you to provide your real life information. These can be the details of your utility bill payments, rent receipts, income and so on. Furthermore, try to save up quite a lot, so that you can obtain a mortgage through this, as it may not always be possible to buy a home without a mortgage.
As for the rent. you can start using eCredable.com which has the provision for you to build a payment history, based on your previous rental history, utilities and so on. If you actually have no debt, lenders would be ready to offer you the rent. You would not even be required to obtain a loan. If you can’t believe in this, you can at least try it for once.
Categories: Credit Score Articles Tags: Credit Score, interest, need, possible, without
Is it possible to get a mortgage with no credit?
Question by : Is it possible to get a mortgage with no credit?
My g/f are looking into buying a home of our own. neither of us have credit. we pay for everything in cash. we have 0 debt. no car payment nothing. we between the both of us we have been renting for about 3 years. we have never been late on a payment. with all this talk about “credit scores” and that it can save you thousands of $ $ $ if you know it, i am not sure how easy it is going to be to actaully get that much money loaned to us. we also will have a 10-15k down payment right off the start. oh i should also say we are both 21 also. so does anyone know if i can even get a mortgage?
Thanks guys
may i also add that we have been paying for rent via check. not cash. good lord.
one last thing. i dont want a credit card, or want to have a smaller loan for something like a car. if i want something i am going to pay for it in cash. but a house now that i need some help on. but cars and other things are paid for in cash. mine when i drive it off the lot.
also i have ran both of our credit scores at my bank. they both came up blank. nothing. nodda, no history. is that bad?
were both only 21 so we both dont have that long of a job history. but she has only had 2 differnt jobs in 6 years, and i have only had 2 differnt jobs in 6 years. neither of us have ever been unemployed. and we both work for big good paying companys.
Best answer:
Answer by homeschoolmom
Congratulations! You two sound like you have all your ducks in a row and have your heads on straight, not getting messed up in credit card debt.
Your best bet is to talk to a mortgage broker. You’ll be dealing with one when you apply for the mortgage anyway, so they can give you the low-down on your individual situation.
Yes, you can get a mortgage with no credit and a BIG down payment (like you have). All a credit score shows is how well you manage your money, and the fact that you have a combined total of $ 10-15k saved for the down payment tells the lender you can manage your money just fine (really, BETTER than folks who use credit cards to overspend).
Talk to the mortgage specialist at your bank or ask a realtor. They can recommend a mortgage broker. Just make sure you already know how much mortgage you can afford (principle, interest, TAXES AND INSURANCE) before you go. Use your current rent payment to guesstimate how much loan payment you can afford, then use an online calculator to find out how much mortgage that will get you. Add in the down payment and that’s how much home you can afford. Don’t let them tell you you can afford more – they get paid a commission based on the value of the home/mortgage – bigger home/mortgage=more pay for them. Only YOU know what you can afford.
Give your answer to this question below!
Categories: Credit Score Questions Tags: Credit, Mortgage, possible
How is it possible that my credit score dropped?
Question by jaden smith: How is it possible that my credit score dropped?
I cant understand how in the world my credit score actually fell lower than it was last month. No late payments in the past 4 years, no new credit inquiries or accounts since May (the same inquiries were on last months report), and I actually paid off a $ 4000 credit card. This makes no sense to me whatsoever….Can anyone explain why my score dropped?
Best answer:
Answer by Sbh
Is it only slightly or is there a huge difference? Slight fluctuations are nothing to worry about, it will probably revert back next month by which time the £4000 you paid off should have registered. If there is a big drop check with the Credit reference agencies such as Equifax or Experian (on line or with a form). It could indicate that someone has applied for or borrowed in your name. Another possibility is that someone at the same address as you has financial problems.
Once you have checked your credit records you can have them sorted if anything is incorrect, if it someone else at the same address you can ‘disassociate’ yourself financially from them.
Check the websites for Experian & Equifax for fuller details.
Know better? Leave your own answer in the comments!
Categories: Credit Score Questions Tags: Credit, dropped, possible, Score