The Cost of a Low Credit Score Loan

It can be quite a disappointing feeling to find out thatminor things you can do to bring boost your score by
you are having trouble getting approved for a lowa few points. After all, 75 percent of all credit reports
credit score loan. Unfortunately, by the time someonecontain erroneous information, and you have the right
goes to get a loan they realize just how importantto have accurate representation of your
maintaining a clean credit history is. As an example,creditworthiness.
let's say you have to purchase a $200,000 home on aBut low credit won't just hurt you from securing a loan.
30 year fixed mortgage at 8% interest instead of 6%There are other areas that you may be affected by.
(because of your credit score). That extra 2% is goingYour auto insurance, homeowners insurance, life and
to end up costing you a total of $96,934.11 over thehealth insurance, and even employers nay request to
term of the low credit score loan. That means yourreview your credit report and in order to determine
house will cost you 1.5x what you actually agreed tohow reliable and likely you are to stick to your end of
pay for it!the bargain.
Wouldn't it make sense before you go to apply forReviewing your credit report regularly and knowing
your loan if you took just a few minutes to reviewhow to defend your right to be fairly represented is an
your credit report and do just a few quick things toimportant habit you should develop. It can save you
increase your credit score? Even if you think you havethousands of dollars that a low credit score loan would
perfect a perfect rating, chances are there are someotherwise cost you.