Are you having trouble applying for a loan, or does it seem as though keeping up with your finances is an inhuman task? In situations like these, bad credit could be the culprit. To say that this can impact your financial situation would be an understatement, but it's easier to get yourself out of this situation than you may think. In fact, here are some of the most common questions about bad credit, in addition to answers provided by Robert Jain.
"How is my credit score calculated?" There are quite a few factors that go into this process. As names like Bob Jain will tell you, the amount of money that you owe to various parties will play a huge part. The same can be said for your current payment history. Other factors include your credit history, the type of credit you use, and any new credit you've obtained. To say that this is an intricate process would be an understatement.
"What causes bad credit?" Much like with how a credit score is determined, bad credit can be attributed to different factors. Have you been paying your credit cards late? Have you simply not been making payments at all, for one reason or another, resulting in your level of debt increasing over time? While these aren't the only reasons bad credit exist, it goes without saying that they play their own pivotal roles all the same.
"How does a low credit score impact me?" In short, in many ways. One of the reasons why people improve their credit scores is because they want to be approved for homes or apartments. They may also want to obtain loans that they wouldn't have been afforded access to otherwise. After all, you don't want to present yourself as a financial risk. Keeping your credit score in good standing impacts your quality of life in myriad ways.
"My credit score appears to be low; how do I improve it?" Arguably the best way to do so is by exercising good, smart credit. You should only make payments you know you can cover, but it's equally important to make payments when they're due. Furthermore, you should focus on payments with the highest interest rates so that you save the most money. Methods like these will make improving your credit score possible.
"How is my credit score calculated?" There are quite a few factors that go into this process. As names like Bob Jain will tell you, the amount of money that you owe to various parties will play a huge part. The same can be said for your current payment history. Other factors include your credit history, the type of credit you use, and any new credit you've obtained. To say that this is an intricate process would be an understatement.
"What causes bad credit?" Much like with how a credit score is determined, bad credit can be attributed to different factors. Have you been paying your credit cards late? Have you simply not been making payments at all, for one reason or another, resulting in your level of debt increasing over time? While these aren't the only reasons bad credit exist, it goes without saying that they play their own pivotal roles all the same.
"How does a low credit score impact me?" In short, in many ways. One of the reasons why people improve their credit scores is because they want to be approved for homes or apartments. They may also want to obtain loans that they wouldn't have been afforded access to otherwise. After all, you don't want to present yourself as a financial risk. Keeping your credit score in good standing impacts your quality of life in myriad ways.
"My credit score appears to be low; how do I improve it?" Arguably the best way to do so is by exercising good, smart credit. You should only make payments you know you can cover, but it's equally important to make payments when they're due. Furthermore, you should focus on payments with the highest interest rates so that you save the most money. Methods like these will make improving your credit score possible.