- July 9, 2014
- Posted by: aarmortgage
- Category: mortgages in winnipeg
Credit is, as a matter of fact, debt. If you take on too much debt, you will discover that what you once believed was good is now actually quite bad and it can, at times, weigh you down and put quite a damper on your activities and your lifestyle.
Your credit score is a 3 digit number derived from detailed information about your credit history and past. This credit score can be one of your most valuable assets to your financial future; giving you the flexibility to be able to purchase a home with a mortgage or limiting you to continue renting a place of residence.
Your credit score can also drastically affect the interest rate that you will be expected to pay on your loans, whether it be a car loan, home loan, student loans, etc). The higher your credit score, the less interest you will have to pay on the loan you have taken, and the ladder with a low credit score. Your interest rate is based on risk, and the higher the risks the higher the rate of risk as well as other costs.
If interested in a loan, companies evaluate your credit risk which is referenced by your credit score any time you apply for a loan or a credit card, although note that landlords, utility companies and potential employers may also take your credit score into account. A poor credit history has its downfalls, but at AAR Mortgage we are here to help you with residential financing, private lending, bad credit mortgages, credit assisting programs, debt consolidation and much more!
Do you know what your credit rating is? Check out Equifax Canada and TransUnion to learn more.