How to Fix Credit Scores: 4 Steps to Repairing a Bad Credit Score - Total Mortgage Blog

Abstract

A credit score is a three-digit number that reflects the risk a potential borrower poses to lenders. Lenders use it to determine whether someone is worthy of credit or how much they should be lent. The higher the score, the more likely the borrower will make payments on time. A score in the 580 to 669 grouping is only fair and might not qualify potential borrowers for mainstream loans. Lenders are likely to reject mortgage applications. A Score in the 500-669 grouping are only fair. A to 669 is only good and may not qualify for the top terms. A scores in the 600-769 grouping may not qualified for theTop terms are only good. A Scores in the 680-7 69 grouping may not Qualify for the highest terms. The result is a credit utilization rate of no more than 30% to prevent drops in your credit score.