Your Credit Score is Costing you Money

By Rob Kosberg

There is a mystery among us. It's called a CREDIT SCORE and is something that many of us don't understand and may not even know. It is a very important 3 digit number about which we need to become educated. You are most likely aware that that a "low" score will result in difficulty obtaining a mortgage, credit card, and car loan. However, even though these are at the top of the list of problems with poor credit, you need to be informed about your credit score and the fact that it may be costing you money.

First of all, if your score is low, you are likely determined to be a "credit risk." In this case, if you are able to secure a mortgage at all, you will be paying an interest rate for your home that will be significantly higher than what is the usual for a mortgage. The amount of interest will cost you thousands over the term of the loan.

In addition to the "normal" loans we all know about, the credit score can affect you in a number of ways that you may never have thought about. Now is the time to learn about these areas.

When you apply for car insurance, the companies will utilize a credit profile for writing the policy. It seems that Homeowner's insurance companies have decided that, if you have poor credit, you will probably make more claims. So, up go the rates. Now you can start to realize that our credit profile is becoming more influential in our lives.

We all have concerns about health care. Some people are unable to keep current with life and health insurance payments. Therefore, costs increase for the insurance companies and insurance rates increase. Your poor credit can be affecting these rates.

Have you been denied employment? If this has occurred, it is possible that the employer checked your credit profile, found it poor and decided that you would not be a fit for his business. He might think you would steal or be dishonest in other ways. So, now it can happen that your poor credit is perhaps going to cost you employment.

Now, during our credit crisis, we are going to have even more problems getting credit. If you are a "credit risk" with a low credit score, you are in definite need of credit repair. You may have some surprises that you never expected. You need to fix things as soon as you can.

Please do not ignore your personal financial situation. Remember all the areas of life that are affected by poor credit so work on fixing your situation.

About the Author:

With unprecedented challenges in the credit markets it?s more important than ever to have excellent credit. For more information visit Rob Kosbergs' Detailed FREE Guide on Maintaining and Repairing your Credit Score by going to Bad Credit Repair for your FREE information.