How are scores evaluated?
Scores under 500 – BAD Scores 500 to 600 – POOR • This usually results from late payments, collections and charge- offs. You will most likely be charged the highest interest rate allowed by law in your state or you could be turned down completely. Scores 601 to 650 – FAIR • You will be able to obtain credit more easily than the poor score category. Scores 651 to 700 – GOOD • As long as your debt to income ratio is low you will be approved and will likely pay a lower interest rate on your loan. Scores above 700 – GREAT • You are considered a “prime borrower” and will be able to obtain favorable financing terms.
