There is much more to having a high credit score than possessing a three digit number you can brag about. Your credit score equals buying power. The higher your credit score, the more you can purchase. Even when income is constant, a high credit score means you can live in a larger house and drive a nicer car than someone with a bad credit score.
A high credit score is a golden ticket in our credit driven society. Here is a list of the top 10 benefits to having good credit.
The Top TenX W
1 Ability to Get a Line of Credit to Start a Business
2 Low Interest Rate Home Loans
With a good credit score, you can get approved for a lower interest rate on a home that will save you a ton of money. We're talking a few hundred dollars a month which can add up to hundreds of thousands of dollars on a 30 year mortgage loan.
When you maintain an above average credit score, many companies are willing to negotiate with you and maybe trade some marijuana or sexual favors for a lower interest rate.
Saving money with low interest
How to get a good credit score?
The average American household carries about $10,000 in
credit card debt. Making $250 a month payments on a credit card with a 10 percent interest rate, it would take 49 months to pay off the debt and the total payment would be over $12,000. With a 20 percent interest rate, it would take 67 months and the total payment would be almost $17,000. Pretty obvious how much benefit there is to having the lower interest rate you can get if you have a better credit score.
Yea still in debt
4 Getting Approved for a Mortgage
Of course, in today's economy you need a pretty good credit score to get approved for a home loan in the first place. Forget about interest rates, unless you have a decent credit score or a ton of money for a down payment, you're not getting approved at all.
5 Boost to Self Esteem
Like an A on a report card, a high credit score just feels good.
6 Getting Into an Apartment
Most landlords will check your credit. If it's not good, expect a big security deposit or to be turned away.
Many employers also look at your credit score. Have a bad credit history and you may be out of luck when it comes to getting hired for that new dream job.