Your credit score is an essential part of every credit approving process. With a good credit score, your chances to get a loan increase – with a bad credit, vice versa, decrease. FICO scoring system acts as a commonly accepted standard for most of financial bureaus and lenders. According to FICO, you will more likely to get a credit if your credit score is more than 700. Nevertheless, good, fair, and bad score vary and depend on the type of the loan.
P.S.: Check types of online loans through Personal Money Service.
Everyone, who is going to apply for a car loan, is supposed to obtain a credit score from 600 to 625. Nevertheless, if your score varies from 690 to 719, you will more likely to get a tempting bonus – an affordable and redeemable interest rate of about 6.388% for a 36 month car loan.
However, financial experts encourage borrowers to boost their credit score up to 720 to 850 in order to receive an interest rate of about 4.883%. Take into account that a bad credit history can influence the period of the debt repayment, which, in this case, won’t last more than 48 months.