15 Benefits to Having a High Credit Score

Credit scores are a valuable indicator of an individual's financial responsibility.  The higher your credit score, the more likely you will be approved for an apartment rental, mortgage, and pay less for auto insurance.

1. It's Easier to Secure a Loan With A Good Credit Score

A high credit score allows you to secure a loan more easily. Lenders know that borrowers with high credit scores are less risky and more likely to repay their debt on time. The higher the credit score, the lower the interest rates. It’s that simple. Late or missed payments can drastically lower your good credit score.

2. You Pay Less Interest on Loans

People with a low credit score will pay much more interest on any loan or credit card. When you have a high credit score, you can save hundreds or even thousands of dollars in interest payments over the life of your loan.

3. Better Renting Opportunities

Many landlords check applicants' credit scores before approving them for a lease. Landlords will perform a credit check and prefer high-credit tenants as they pay rent.

4. Better Job Opportunities With A Clean Credit History

Many employers check your credit history before making an offer of employment. Companies prefer employees with good financial responsibility because they are less likely to start fights or steal money from the company.

5. Pay Less for Insurance

Insurance companies know that individuals with a strong credit score have been responsible and dependable in the past. Hence, it is unlikely they will file any claims or cause other problems.

6. Pay Less on Your Mortgage

Mortgage lenders like to see high credit scores because it means that you're a low-risk borrower. When you have a good credit score, you may be able to qualify for a lower interest rate on your mortgage. You could save thousands of dollars over the life of your loan.

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