Skip to main content

Your Credit Score: Benefits

Credit scores can be a scary or enlightening thing, and if yours is not in a good place you may think you don't need to improve it because you don't plan on buying anything large right? Life changes from day to day, and you would be surprised the things you end up doing or wanting to later in life that you did not before, and may find yourself unable to do so, because of things like credit. Here are some reasons to improve your credit:

1) Lower Interest Rate on Loans and Credit Cards

Credit is a snapshot of risk, if you have lower credit then you are more of a risk. So to cover themselves in order to do business with you, businesses' will have to charge you a higher interest rate. It is always in your best interest and money saving efforts to have better credit when applying for things like Mortgage Loans.

2) Leverage to Negotiate Lower Credit Card Interest Rates

In some cases, you should not ask for things if they are not offered. However, if you have good credit and are looking to get a credit card- you can ask the company for a better interest rate. With good credit, you are worth offering it to. You will save countless dollars with a lower interest rate, and I am sure you have better use for the money you saved.

3) Qualify For Lines of Credit

Lines of credit have so many uses, for example-appliances or furniture. Costs of living that come up randomly and often have large dollar tags, with good credit you qualify for a good line of credit to help cover the costs of those life expenses.

4) Qualify For Higher Limits

The stronger your history, the better case you have for a higher credit limit. With more money to borrow, you can be ready for more opportunities that may come your way.

5) Rental Approval

When looking for a place to rent, it is customary to submit your credit report or let it be pulled. Bad credit with a good story may be accepted, but is a much harder sell. The better the credit, the better your rental application is.

6) Better Insurance Rates

Everyone needs insurance, wouldn't you like to pay less for good coverage? Most people would. A key component to this is good credit.

7) Employment

When one is applying to work for someone, they go through a thorough check. One of these checks is Credit. Strengthen your position as an applicant to get that job so you can have a good life.

8) Avoid Security Deposits

When moving, there are often security deposits from Utility and Cell Phone companies. Before they charge the deposit though, they run your credit. With good credit you will avoid having to pay a deposit since you are a less risky customer to the company.

I hope that any one of these reasons move you to better not only your credit but to better your life in the process. Let me know if you need any help in doing so, and are ready to buy a house with that awesome credit!

Orange, CA-TRREG DRE#01843673-RP100 DRE#02059058-P:714-831-1800-E:info@theresultsrealestategroup.com-W:www.theresultsrealestategroup.com-Facebook - Twitter - Instagram - LinkedIn

Comments

Popular posts from this blog

Why Real Estate is Such a Good (Great) Investment: Part 2-Rent it

This is the next installment of a 7 part series exploring ideas of why real estate is such a good investment. The focus will be on single family and multifamily real estate, but a good idea is a good idea, enjoy.  Today we are exploring using real estate as a rental property. It is the most common use for investment residential real estate, the first question is whether to go with short-term rentals, or long term (fixed term) rentals. For short-term rentals (Airbnb or similar), first make sure about city ordinances, for example,  City of Anaheim  has extremely restrictive rules relating to short term rentals. The rules can be many, burdensome and ever-updating, in fact, I would not recommend doing short term rentals in Anaheim at all. In addition to cities, HOAs (Homeowner's Associations) are common in areas that have high Airbnb demand, and  they have not been friendly to it either . Secondly, please note that short-term rentals have the primary com...

Why Real Estate is Such a Good (Great) Investment: Part 5-(Can we) Build it (yes we can!)

This is the next installment of a 7 part series exploring ideas of why real estate is such a good investment. The focus will be on single family and multifamily real estate, but a good idea is a good idea, enjoy.  Building is a straightforward way to add value. There are really two classifications of it. Either remodeling or constructing. In terms of remodeling, as mentioned in a prior post, it is important to find a 'quarterback' that knows what and who to ask. Improvements should be thought of in terms of how much value it will bring, it has been said that kitchen and bathrooms are the highest return on investment. https://www.remodeling.hw.net   has a very good annual report ( linked here for Los Angeles, see last page ), some highlights is that a MINOR kitchen remodel returns 105% of the money put in. Other things include the expected, Grand Entrance (108.1%), Garage Door (123.8%) and perhaps unexpected, Deck Addition, wood (98.8%), Windows, double pane (102.6%)New ...

Why Real Estate is Such a Good (Great) Investment: Part 7-Legacy

This is the last installment of a 7 part series exploring ideas of why real estate is such a good investment. The focus will be on single family and multifamily real estate, but a good idea is a good idea, enjoy.  Over the last two centuries, about  90 percent of the world’s millionaires  have been created by investing in real estate. This has created incredible 'political cover' to be a part of that 'millionaire's club'. What I mean is that, so many people have come to rely on real estate for their past and present fortunes, that it is unlikely major legislation would change its tax-advantaged, and political-advantaged position. Today will be a much more abstract topic, it relates to legacies, dynasties and how your blogger sees the world. What defined the  Middle Ages was land . What defined a noble was being a land-lord (as they still are). It is my, possibly unpopular, belief that our country may be on the tail end, or just past the  Pax Americana , a...