I highly recommend everybody check their credit score at least once a year. I have had numerous errors over the years which have negatively hurt my score. Studies show that 30% of all credit reports are wrong! One time, I had some delinquent payment due to a $8 utility bill that I owed after moving out of a rental which I had no idea. That delinquent bill dragged down my credit score by 100 points and almost cost me $20,000 in mortgage refinance savings over 5 years!
Good credit is essential for student loans, auto financing, credit card rates, and getting the lowest mortgage possible. The difference could be in the hundreds of thousands over the life of a loan. Furthermore, it is shocking to find out that the average credit score for a rejected mortgage application is 729. Banks have become very stringent with mortgage loans and refinancing, which is why you need to know your score in order to improve your score.
BENEFITS OF CHECKING YOUR CREDIT REGULARLY
1) Protect against credit and identity theft.
2) To make sure you don’t have an errors on your report which unfairly hurt your credit.
3) Shows whether you have any liens on your credit which prevent you from getting a loan.
4) Prepares you for what you need to do to improve your credit.
5) Prevents you from wasting time during a mortgage application process which might not go through.
6) Gives you bargaining power when taking out a car loan or a loan for any other high ticket merchandise.
Check out your Experian credit score today for just $1. Experian is one of the big three credit score companies and is the most trusted credit score company today.
About the Author: Sam has been investing his own money ever since he opened an online brokerage account in 1995. Sam loved investing so much that he decided to make a career out it by spending the next thirteen years after college working at Goldman Sachs and Credit Suisse Group. During this time Sam earned his MBA from UC Berkeley with a focus on finance and real estate. In 2012 Sam was able to retire at the age of 34 largely due investments that today generate roughly $220,000 a year in passive income. He spends time playing tennis, hanging out with family, consulting for leading fintech companies, and writing online to help others achieve financial freedom.
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