How will your credit rating be affected?


The importance of credit risk management | MarisIT

We know that credit rating is very important for a person. Maybe you don't realize that a good credit rating can bring you a lot of convenience at ordinary times. For example, if you want to get a loan, if your own credit rating is very high, then for the lender, this credit rating is a very reliable guarantee, so the interest rate of your loan will also decrease with the increase of your credit rating, But if you are a bad credit borrower, then for the lender, he will be very careful to consider whether to lend to you, and the loan amount and loan interest rate will be changed. What will be the impact of the credit score so important?

Your usual record of keeping promises

What you may not know is that the credit record covers many aspects, ranging from the fact that you haven't paid the water fee this month to the fact that you have evaded a large amount of loan, almost everything about people's life can affect your credit rating as long as it involves institutions and other people's participation. If you don't pay the water fee, this list will be sent to your lender, This will make the lender distrust you and feel that you are not reliable, and your credit points will be reduced and consumed in the long run, but if you pay these fees on time, it will have a positive effect.

Related to loan institutions

If you borrowed a sum of money, and then actively repaid it through your own efforts, but you did not have the lender to explain the subsequent interest rate generation or the problem of liquidated damages to you before the loan, until you began to repay, you realized that the price was very high, but at this time you have no right to prevent the continuation of this matter, you can only work hard and continue to repay the loan, which is of course a slightly better plan, For borrowers who are unemployed and faced with unethical lenders, such loans are tantamount to driving them to hell. If you cannot repay the loan on time, your default record will be written on your credit report.

What Is Credit? - YouTube

Safeguard their legitimate rights and interests

When you are repaying the loan, you find that the lender has contacted some collection agencies to urge you to pay the debt. Please don't worry. At this time, you must take out the contract you signed with the lender at that time, and then carefully read it to see whether you have breached the contract, or whether new terms have been added to the contract in this period of time. If none of the above behaviors are found, you are sure it is not your problem, Then you can contact the borrower and tell him that you are acting in full accordance with the contract. If he continues to do so, you have the right to apply for the help of the supervision committee to stop their illegal behavior. Of course, if you do not do so and do not take the initiative to protect their rights and interests, then the national government agencies will not know about this matter and will not seek solutions for you, so when something happens, You should be very positive first.

Credit and Loans | Federal Trade Commission