What Your Credit Score Says About You

Credit Score

A credit score is directly proportional to your money management capabilities. It shows the reliability of the borrower and how sharp his money management skills are. This three-digit number has so much to say about you. 

Any lender or landlord who is dependent on you financially will take a look at your credit score to judge how capable you are. The capability depends on the range where your score falls. Here’s what they assume about you as per your credit score:

Credit score 800 to 900: Super Prime

A credit score between 800 to 900 means that you have scored A+ in your school. It says that the borrower has been able to manage all his bets sincerely. He has responsibly paid all his bills and borrowing on time and in full.   

It also says that even if a bad situation occurred in the history of the borrower’s credit, he has managed to overcome it with flying colors. It also says that the borrowers have taken the utmost precaution at the time of borrowing money. Also, the lender may provide your credit at a low rate of interest, which means it will help you save money.

Credit score 749 to 800: Prime Plus

If super prime is an A+, then prime plus is definitely like a B+ score in your mark sheet. This score tells that the borrower is a solid bet and a new player in the game. It says that the borrower has been hard at building the work and doing all the things right till now. He has to continue in the game by maintaining the spirit. He has to keep managing his wealth properly.

With this range, the borrower will be eligible for all mortgages, credit cards. He will not face any problem or delay in getting his credit approved by the lender.

Credit score 699 to 749: Prime

The people falling in this range seems to be a little messy. They may have made an inevitable mistake while maintaining the credit score, or they have just started learning about it. 

Three primary factors that are crunching your credit score are the history of payment, debt-to-credit ratio, and the viability of credit. This range says that you were somewhere late in paying your recent debts and carrying a long bill of your credit card. The borrower falling in this range might get credit without much hassle, but he will have to pay a slightly higher interest. 

Credit score 649 to 700: Non-Prime

At this range, the score suggests the borrower is going through tough credit times. He may be taking correct measures to build a strong credit now. It is going to take a month’s time or even more. Meanwhile, the lenders will consider it as a matter of concern.

Credit score 650 and below: Risky

This is a crucial point where the borrower has to keep himself distant from borrowing any new credit card or taking a new loan. A score below 600 says that the borrower is not is a stable financial condition. The lenders and landlords will look at you with a very risky sight. 

If you are getting over bankruptcy, it will take at least ten years to rise from a difficult situation. The borrower will have to work hard to heal the condition.

Therefore, the role of a credit score in the life of an individual is vital. Proper attention has to be given to lead a healthy financial life.