Managing Your Credit Score-Green Bay Real Estate Alert
So many things in today’s world are based on your credit score it’s now more important than ever to understand the repercussion’s of mistakes that can cost you big in the pocketbook. Justin McHood a Blogger on the Phoenix Real Estate Guy explains in common sense terms what mistakes can do to your credit score.
Want to buy Green Bay Real Estate? Know How to Protect Your Credit!
For Green Bay Home Buyers the most important thing that allows them to purchase Green Bay Real Estate is that dreaded credit score. Even other things such as insurance companies are using your credit score to determine rates. Simply put your credit score is your life line for all your major purchases in your life and should be protected at all costs.
More than any time that I can remember since I have been in the mortgage business, people are paying close attention to their credit scores.
People ask me questions like “what happens to my credit score if I ?” on a regular basis and because of the nature of how exactly credit scores are calculated (it is mostly a secret), I have usually just been able to give general guidelines for each what-if scenario.
Recently, FICO has released a little more information as to exactly how much of a credit score drop you can expect to see for certain financial mis-steps. While they didn’t address all of the possible things that could go wrong and as a result hurt your credit, they did address some of the more common ones.
credit score damage points
Did you just max out your credit card? Expect your credit score to go down anywhere between 10 and 45 points. Just paid a payment 30 days late? Expect a 60 to 110 point hit. And if you are one of those people who has recently went through foreclosure? According to FICO you should see your credit score anywhere between 85 and 160 points lower than it was before it happened.
One of the interesting things I noticed about the “damage points” model is that the higher your credit score is before the mistake, the higher the penalty in damage points. One potential result of this algorithm that comes to mind as a result of this is that I suspect in 2 years from now, there may be more people with “decent” credit, but maybe not great credit.
Because in today’s world – it is more difficult than ever to keep a pristine credit score.
And now, with the unveiling of the credit score damage points model – you know exactly what kinds of damage to your credit that you can expect should “something bad happen”.
Greg Dallaire specializes in the Green Bay Real Estate market. Greg Dallaire is also known as Green Bay Greg the cutting edge Green Bay Real Estate expert. I specialize in using proven and creative internet marketing strategies to get your Green Bay Home sold. If you are looking for a true local Green Bay WI expert that has a proven track record of success in the Green Bay Real Estate market please contact me right away at 920-217-2647. See what Greg’s clients say about his Real Estate Service via video.
Copyright © 2009 By Greg Dallaire, All Rights Reserved. *Managing Your Credit Score-Green Bay Home Buyer Alert *