A Good Credit Score Can Save You Thousands

It may sound cliché, but a good credit score can really save you a ton of money.

Don’t believe me? Just look at the numbers.

A recent study from CarInsurance.com revealed that drivers with credit scores above 750 save an average of $783 annually on car insurance.

But only about 40 percent of consumers have credit scores that high. The rest are essentially overpaying for their car insurance.

Then there are mortgage rates. Credit scoring is a huge factor in determining what interest rate you’ll wind up with.

In fact, you might not even be able to qualify it your credit isn’t up to snuff, despite having plenty of money in the bank and a steady paycheck.

Again, a good credit score can mean the difference of hundreds of dollars a month, or thousands over the life of your 30-year mortgage.

Don’t own a car or a house? Okay, well let’s look at credit cards.

If you carry a credit card balance, you’re going to end up paying costly finance charges (interest) if you don’t have a solid credit score.

After all, why would the credit card issuers approve you for their best deals, such as 0% APR credit cards and money-saving balance transfer offers if your credit score isn’t where it should be?

Short answer: they won’t. And you’ll end up paying more and more all because you didn’t take the time to better understand your credit score and how it ticks.

When it comes down it, credit scores are only going to get more important. So now is the time to start practicing healthy credit habits if you’ve been neglectful.

Pay bills on time, keep balances low, and use credit sparingly.

And if you’re planning on applying for a major loan in the near future, check your credit scores now to see where you stand to avoid any nasty surprises!

Colin Robertson is the author of several consumer finance websites aimed at helping people save money, including The Truth About Mortgage.

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Disclaimer: This information has been compiled and provided by CreditScoreQuick.com as an informational service to the public. While our goal is to provide information that will help consumers to manage their credit and debt, this information should not be considered legal advice. Such advice must be specific to the various circumstances of each person's situation, and the general information provided on these pages should not be used as a substitute for the advice of competent legal counsel.