Your 700 Credit Score is Good, But Is It Good Enough?
- By Stuart Hunter
- Published 02/5/2009
- Finance
- Unrated
Stuart Hunter
Providing credit repair services since 1991, Lexington Law has helped over 500,000 clients legally take on their credit. Last year alone, Lexington Law helped clients remove over 600,000 negative items from their credit reports.
View all articles by Stuart HunterYour 700 Credit Rating is Good, But Is It Good Enough?
With interest rates plummeting, homeowners are flocking to lenders with hopes of refinancing their home loans at a lower interest rate and saving loads of cash in the process. On a 30 year loan for $250,000, refinancing from an 8 interest rate to one of the great interest rates in the 5 range that were reported in early 2009 would lower monthly mortgage payments by nearly $500. Over the course of the entire loan, this amounts to over $170,000 worth of savings.
The majority of people, however, will not be able to qualify for a refinance loan and an even larger segment of the population will not be able to get approved for the best interest rates.
Having a good credit rating isn't good enough when it comes to getting approved for the best rates on a mortgage refinancing loan. Most people consider a 720 credit score to be a good score, says Chris Freemott, president of All American Mortgage, but to get the best interest rates on their loan, borrowers will need a credit rating of 740 or better.
For years, people looking to raise their credit score have been trying to find for a way to turn a bad credit score into an average credit score or better. By taking credit scores in the 500 range or lower and increasing them to 650 and above, people found they were able to significantly improve their quality of life. They were able to get approved for mortgage loans that were previously denied to them and qualify for loans and credit cards with reasonable and manageable interest rates.
Today, a shift has been made where it is not just those with low credit scores who could benefit from credit repair or other credit improvement services.
As is evidenced by the current home loan situation, even those with average credit scores may be able to benefit from pushing their credit scores even higher.
If you are looking to take advantage of the low interest rates, take some time to research a number of lenders and shop around for the best rates. And don't get down if you get rejected by one lender because there may still be others who will be happy to work with you. And if lenders are consistently rejecting your application or not offering the interest rates you want because of your credit score, then making use of credit repair services like those provided by Lexington Law may be the first step you need to take in order to accomplish your goals.
The majority of people, however, will not be able to qualify for a refinance loan and an even larger segment of the population will not be able to get approved for the best interest rates.
Having a good credit rating isn't good enough when it comes to getting approved for the best rates on a mortgage refinancing loan. Most people consider a 720 credit score to be a good score, says Chris Freemott, president of All American Mortgage, but to get the best interest rates on their loan, borrowers will need a credit rating of 740 or better.
For years, people looking to raise their credit score have been trying to find for a way to turn a bad credit score into an average credit score or better. By taking credit scores in the 500 range or lower and increasing them to 650 and above, people found they were able to significantly improve their quality of life. They were able to get approved for mortgage loans that were previously denied to them and qualify for loans and credit cards with reasonable and manageable interest rates.
Today, a shift has been made where it is not just those with low credit scores who could benefit from credit repair or other credit improvement services.
If you are looking to take advantage of the low interest rates, take some time to research a number of lenders and shop around for the best rates. And don't get down if you get rejected by one lender because there may still be others who will be happy to work with you. And if lenders are consistently rejecting your application or not offering the interest rates you want because of your credit score, then making use of credit repair services like those provided by Lexington Law may be the first step you need to take in order to accomplish your goals.
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