Why Your Credit Score is Important

Your credit score can either haunt you or reward you. It all depends on how you handle your credit and payment activities. Your credit score determines what interest rates you will pay and if you are even approved for a loan or a credit card at all. In addition, your credit score can play a factor in renting your next apartment or getting hired from a potential employer.

Your credit score is compiled from the information on your credit report. The performance of your credit activity is rated on a numerical scale from 350-850. This number is your credit score. The higher your credit score, the better. Late payments, delinquent accounts and maxed out credit limits are all things that can lower your score. Below is a general guideline to determine what your credit score means in terms of getting approved for a loan or receiving credit and what type of interest rates you can expect to pay.

750-850: Is considered to be an excellent credit score. You can expect approval and should receive a great interest rate.

680-749: Is considered to be a good credit score. Generally you should be approved and given a favorable interest rate. 620-679: Is considered to be a middle of the road score. You will more than likely be approved but you may have to pay a higher interest rate.

550-619: Is considered to be a low credit score. You can find lenders who will approve people with poor credit scores but they will probably charge very high interest rates and fees.

300-549: Is considered to be a very bad score. It will be a challenge to find a lender that will offer you credit at all.

Do you know what your credit score is? Having this information can save you the time and hassle of trying to get approved for loans that you may not even be eligible for. There are many reputable companies like http://www.credit-report-credit-score.com that can provide you with your credit score for free.

If your credit score is lower than you need it to be, there are many ways to get your score up. It will take some time and diligence but it can happen. There are credit repair companies available to help get your credit situation back into shape. But there are also actions you can take on your own to improve your credit score.

First, you have to be sure to make all of your future payments on time. Late payments can be very detrimental to your credit score. Secondly, you should try to stop charging if you have a lot of credit card debt. If you do have a lot of credit card debt, you should try to pay the balances down as much as possible. Do not attempt to obtain new credit and do not fill out excessive amounts of loan applications. New accounts and numerous credit application inquires can be a hazard to your score.

If you currently have a good credit score, then make sure you keep it! If you are beginning to have financial trouble and your monthly payments are becoming a challenge, try at all costs to avoid defaulting on any of your loans, especially your mortgage. Taking out a debt consolidation loan is an option that can help ease your monthly payment obligations and keep you from ruining your credit score.

With all of this said, you can see why your credit score is one very important little number.

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Note: This article may be freely reproduced as long as the authors bio paragraph at the bottom of this article is included, the article is published "as is" (unedited) and all URL's are made active hyperlinks with no syntax changes.
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This article was written by Beth Pardue who has over 10 years of experience in the financial industry assisting clients with assorted financial needs. To learn more about credit reports or to get a free credit report online please visit: http://www.credit-report-credit-score.com

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table border=0 width= valign=top cellpadding=2 cellspacing=7trtd width=80 align=center valign=topfont style=font-size:85%;font-family:arial,sans-serifa href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.southernledger.com/ap/Dow_finishes_below_10000_for_first_time_since_04cid=1254819564ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNG_OnfV32_rJo5w5rTlsWi-KUGx_wimg src=http://news.google.com/news?imgefp=pHGc1JeksKYJimgurl=www.southernledger.com/images_ap/9422120b-b147-4bcd-a7ce-9fa754728f25-9422120b-b147-4bcd-a7ce-9fa754728f25.jpg width=80 height=64 alt= border=1brfont size=-2The Southern Ledger/font/a/font/tdtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://abcnews.go.com/Business/wireStory%3Fid%3D5962010cid=1254819564ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNHclYRFOpKAjufmsyN9Kj1bIRq9XgDow Plunges 700 Points Amid Global Sell-Off/abrfont size=-1font color=#6f6f6fABC Newsnbsp;-/font nobr5 hours ago/nobr/fontbrfont size=-1Meanwhile, the bcredit/b markets remain stagnant, a sign that banks are too afraid to lend. The Federal Reserve is making more money available for borrowing, b.../b/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.youtube.com/watch%3Fv%3DfhS1--tF-1wcid=1254819564ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNFCdkA-KnXOqf4hsuVkWY9-_RLZegVideo: Dow Closes Below 10,000, a Four-year Low/a font size=-1 color=#6f6f6fnobrAssociatedPress/nobr/fontobject width=448 height=356param name=movie value=http://www.youtube.com/v/fhS1--tF-1w/paramparam name=wmode value=transparent/paramembed src=http://www.youtube.com/v/fhS1--tF-1wtype=application/x-shockwave-flashwmode=transparentwidth=448height=356/embed/objectbr/fontfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.atimes.com/atimes/Global_Economy/JJ07Dj01.htmlcid=1254819564ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNE_EB5jjlxiSvh3ja6GOyoAQ-ajdwThe Wall Street bust/a font size=-1 color=#6f6f6fnobrAsia Times Online/nobr/font/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.forbes.com/feeds/ap/2008/10/06/ap5514448.htmlcid=1254819564ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNF5JZ0Wj6EFVuMelINRPxpfi05VaQSector roundup: Auto suppliers, homebuilders/a font size=-1 color=#6f6f6fnobrForbes/nobr/font/fontbrfont size=-1 class=pa href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://ap.google.com/article/ALeqM5g8-DEMtAE9q4i4ySQ0eV_qZefmRQD93L70G06cid=1254819564ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNFoWEQ4BpvW87rSvlQqVXQVRj177wnobrThe Associated Press/nobr/anbsp;- a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.earthtimes.org/articles/show/235628,bushsaysitwilltakeawhiletofreeupcredit.htmlcid=1254819564ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNFXev3JFyC3HJDMtLGX2mcRRog-iAnobrEarthtimes (press release)/nobr/a/fontbr/font class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1254819564hl=ennobrall 2,183 news articles/nobr/a/font/div/font/td/tr/table
table border=0 width= valign=top cellpadding=2 cellspacing=7trtd width=80 align=center valign=topfont style=font-size:85%;font-family:arial,sans-serifa href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.siouxcityjournal.com/articles/2008/10/06/ap/business/d93l5jf80.txtcid=1254903436ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNHsDUrYMy0stujslwSWXf4VQU2UQAimg src=http://news.google.com/news?imgefp=GfHJZSYaOjcJimgurl=www.siouxcityjournal.com/content/articles/2008/10/06/ap/business/d93l5jf80.jpg width=64 height=80 alt= border=1brfont size=-2Sioux City Journal/font/a/font/tdtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.npr.org/templates/story/story.php%3FstoryId%3D95442875cid=1254903436ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNEs9O9dFmmdPR4m6dV50SCCzoMU4gMarkets Down Sharply/abrfont size=-1font color=#6f6f6fNPRnbsp;-/font nobr3 hours ago/nobr/fontbrfont size=-1by Jim Zarroli and Melissa Block All Things Considered, October 6, 2008 · US stocks have fallen again on further concerns that the bcredit/b crisis has gone b.../b/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://ap.google.com/article/ALeqM5ju0KuPIVUcs8asZpLJJ7XIeeMNzAD93KKRP00cid=1254903436ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNGuQaet9l_EoilokOGieellcV-VYAInvestors expect volatility as bcredit/b woes persist/a font size=-1 color=#6f6f6fnobrThe Associated Press/nobr/font/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.theglobeandmail.com/servlet/story/RTGAM.20081006.wcentbanks1006/BNStory/Frontcid=1254903436ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNHCCfMbVSACEv1Kl0u0hoJnCKwP1ABoC pumps $2.4-billion into money markets/a font size=-1 color=#6f6f6fnobrGlobe and Mail/nobr/font/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://feeds.foxbusiness.com/~r/blogs/briansullivan/~3/413091917/cid=1254903436ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNGe-nfbtujrDeOW0vc9l9djjd2OUwThe Fed’s Next Move: Interest Rate Cut/a font size=-1 color=#6f6f6fnobrFOXBusiness/nobr/font/fontbrfont size=-1 class=pa href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.bloomberg.com/apps/news%3Fpid%3D20601087%26sid%3DaktjzhZEdgfY%26refer%3Dhomecid=1254903436ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNE5olsDpxjPewojv5cY8TuMifQ6sgnobrBloomberg/nobr/anbsp;- a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://features.csmonitor.com/creditcrisis/2008/10/06/stock-markets%25E2%2580%2599-plunge-puts-pressure-on-fed-to-cut-rates/cid=1254903436ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNEFJqHaKfEIzb8gn8YG8FnNbdk2YQnobrChristian Science Monitor/nobr/a/fontbr/font class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1254903436hl=ennobrall 504 news articles/nobr/a/font/div/font/td/tr/table
table border=0 width= valign=top cellpadding=2 cellspacing=7trtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.forbes.com/feeds/ap/2008/10/06/ap5515352.htmlcid=1254773659ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNGLGr2_5KGfZQi96bNzWfaDs3CAmAFitch downgrades Ford bcredit/b rating another notch/abrfont size=-1font color=#6f6f6fForbes,nbsp;NYnbsp;-/font nobr3 hours ago/nobr/fontbrfont size=-1s bcredit/b rating deeper into junk status Monday as economic worries dragged down auto shares along with stock markets around the globe. b.../b/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.marketwatch.com/news/story/fitch-downgrades-ford--ford/story.aspx%3Fguid%3D%257B76B7D716-9E74-4105-9883-A8F07645BBA5%257D%26dist%3Dhpprcid=1254773659ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNGTikHT7GsOVUs472jSKH7GMO5tnQFitch Downgrades Ford amp; Ford bCredit/b to #39;CCC#39;; Outlook Negative/a font size=-1 color=#6f6f6fnobrMarketWatch/nobr/font/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.reuters.com/article/rbssConsumerGoodsAndRetailNews/idUSN0640116420081006cid=1254773659ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNE-_zDWGq0YVeaUHPhyYUWvLLnGigFitch cuts Ford, Ford Motor bCredit/b, deeper into junk/a font size=-1 color=#6f6f6fnobrReuters/nobr/font/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.bloomberg.com/apps/news%3Fpid%3D20601103%26sid%3DaMDLVDAgUUHA%26refer%3Duscid=1254773659ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNGi6XLpsWnBXgaB_bJ0yW44Y5ca4AGM, Ford Tumble as bCredit/b Crisis Unsettles Investors (Update1)/a font size=-1 color=#6f6f6fnobrBloomberg/nobr/font/fontbrfont size=-1 class=pa href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.leftlanenews.com/ford-shares-plummet-hit-lowest-point-since-1980s.htmlcid=1254773659ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNEF1spkc3HmNqyujBqMXtEpoaLb-gnobrLeftLane News/nobr/a/fontbr/font class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1254773659hl=ennobrall 29 news articles/nobr/a/font/div/font/td/tr/table
table border=0 width= valign=top cellpadding=2 cellspacing=7trtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.bizjournals.com/southflorida/stories/2008/10/06/daily13.htmlcid=1254889956ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNH29bj7FMxQ6cZ1gdsARZ20S2pJ4QJobs lost, bcredit/b choked, contractors worried/abrfont size=-1font color=#6f6f6fBizjournals.com,nbsp;NCnbsp;-/font nobr3 hours ago/nobr/fontbrfont size=-1“The drop in construction employment accelerated in September and will get much worse unless bcredit/b markets reopen,” said Ken Simonson, chief economist for b.../b/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.kansascity.com/438/story/825739.htmlcid=1254889956ei=Ua7qSJ_oGqCQ6APe2-j5CAusg=AFQjCNFjqBjZyOMorLFfUrIZ9qm7QTEHYQJob losses signal that US is in recession/a font size=-1 color=#6f6f6fnobrKansas City Star/nobr/font/fontbrfont class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1254889956hl=ennobrall 32 news articles/nobr/a/font/div/font/td/tr/table
credit - Google News

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