Bad credit is considered to be a credit history with a fico score of 620 points and lower. The fico score ranges from 300 to 900 points. A score higher than 680 is considered to be a good credit. Scores of 620-680 points are medium credits and score lower than 620 puts its owner into a bad credit range.
Today the problem of bad credits is very common. It is caused by unstable economic situation in the world. Today it is very easy to stay without a work while you have some debts or loans. To receive a bad credit is very easy. Besides unpredictable unemployment you may have a lot of other reasons. It could be everything – divorce, the loss of breadwinner and many others.
Usually the credit information stays in our credit reports for seven years with some exceptions:
- Bankruptcy may be reported for 10 years;
- Criminal convictions have no time limits.
The bounced checks will not give you a bad credit rating in the case you make good on check in a timely manner. If you do not, a company may turn the unpaid debt over the collection agency. It will for sure show up a blot on your report. Usually companies send unpaid bills to the collection after 90 day period after getting a rubber check.
Being unemployed do not contribute to a bad credit score. However, if you were unemployed while you are applying for a credit card, unsecured loan, different credit lines or bad credit estate financing, you may get declined. It happens not because you have bad credit, but because your unemployment checks are considered as unstable income.
If your credit score is concerned and you are going to marry a person with a bad credit history you have nothing to worry about. Each person with a social security number has her or his own credit reports. Bad credit can affect badly the spouse only in following cases – if they co-sign on loans, jointly file for the bankruptcy or open a joint account.
The unpaid utility and other home bills could result in bad credit history only if your account obtains far enough behind (more 90 days past due) that it is sent to collection. It will show up a blank mark on your credit report. Additionally to sending an account to the collection agency, utility companies as well as cable providers would probably also shut off all services.
Your credit score is affected by how much available credit you have in the comparison with your total debt. Cards with zero balances and available credit on them increase your available credit to debt ration.
Nevertheless there are a lot available ways to repair your bad credit.
For the tips about how to fix my bad credit – please visit this site and learn how to fix bad credit. It is possible to fix bad credit.
And please pay your attention to the simply fact that right now we all are living in the world where knowledge quickly enhances the quality of our life.
Due to this if you are properly armed with the info in your topic you can rest assured that you will always find the solution to any bad situation. So, please make sure to track this blog on a regular basis or – best of all – sign up to its RSS feed. Thus you will have a direct shortcut to the latest informational updates here. Blogs can be helpful, you just need to understand how to use them.