FRS Credit Repair

How a Good Credit Score Can Improve Your Life

March 21, 2018
Shawn Lane
Consumer Credit Expert

There is no sugar-coating the fact that life can become a lot more complicated whenever you are faced with credit problems. Sure, you can get by with bad credit and low credit scores, but living like that can be expensive, not to mention stressful. On the other hand, when you work hard to rebuild your credit, the payoff for your efforts can be huge. Here are 4 different ways that earning a good credit score could realistically improve your life.

1. Good Credit May Help You Qualify for Lower Interest Rates

One of the most obvious ways that good credit can potentially improve your life is by helping you to qualify for more attractive interest rates. Whether you are opening a new credit card account, a new auto loan, a mortgage, or practically any other type of financing, a lender is going to evaluate your credit history and credit score(s) as part of your application process.

The condition of your credit will not only impact your ability to qualify for financing, it will also determine how much the lender decides to charge you to do business together (aka your interest rate). The better your credit, the less interest you can typically expect to pay. Don’t believe that a lower interest rate will make that big of a difference? Think again.
Depending upon the type of loan along with a few other factors, good credit could
potentially save you thousands or even tens of thousands of dollars in interest over the life of a loan.

2. Good Credit May Make Securing Housing an Easier Process

Whether you are applying for a mortgage or filling out an application to rent a new place to live, good credit can absolutely make the process of securing housing a lot easier and a lot more affordable. Obviously you will need to have good credit in order to qualify for a mortgage (and to qualify for a better interest rate as mentioned above). Yet even if you are not purchasing a home your credit can still make a difference whenever you try to rent an apartment or home. The vast majority of landlords and property managers rely upon credit reports and scores during tenant screening. If your credit is in good condition when you apply, you could be saved a lot of hassle and disappointment.

3. Good Credit May Mean Low or No Security Deposits

Do you plan to open a new mobile phone account in the future? Need to get utilities turned on at a new address? Would you like to lease a different apartment or house? If so, the condition of your credit could have an influence over the security deposits which you might be charged in each of these situations. The good news is that when you earn good credit, security deposits will often become a thing of the past.

4. Good Credit May Mean Lower Insurance Premiums

Lenders are not the only types of companies who consult the credit reports and scores of their new potential customers. If you apply for a new home or auto insurance policy, the insurance provider is most likely going to check your credit as well, in order to predict the risk of doing business with you.

Good credit scores signify to insurers that you present less risk as a customer, aka you are less likely to file a claim. As a result, your good credit will not only make it more likely that you will be approved for a new insurance policy, it also means that your insurance premium may cost you less.

CLICK HERE or call 888-617-6841 to start renovating your credit and your lifestyle today.