Your credit score is important because it determines the loan rate you will receive.
THE LOWER YOUR INTEREST RATE:
The lower your monthly payment will be
Your loan will cost you less
You will have more money in your pocket to spend on other things
HOW TO INCREASE YOUR CREDIT SCORE
Always pay your bills before the due date
Have a mix of loans (home, auto, credit card, department store, personal)
Keep your loans longer. (Don't switch credit cards every 6 months)
Don't max out your credit card. Keep your balance to available limit low.
Parents
