Monday, March 17, 2008

What is bad credit?

Bad credit is when negative listings or lack of credit history on your credit report cause low credit score. This may cause you to be denied for credit or qualifying only if you pay higher interest on financing, credit cards, and home loans. This may be because of poor performance in your credit history, incorrect information, credit fraud or identity theft. Bad credit can cause you to be denied to open a checking account! The best defense is to check your credit report frequently. Free Credit Report with link to dispute inaccuracies.

How did I get bad credit? If you are experiencing or have experienced any of the following you may be considered to have bad credit:

  • Auto Repossession
  • Delinquent Credit Card
  • Law Suits-Judgments
  • Collection Accounts
  • Foreclosure
  • Unpaid medical bills
  • Liens
  • Late Payments