How Your Credit Score Impacts Your Mortgage

In simple words, a mortgage is a loan given against a property/house. The borrower has to pay this loan in installments over a definite period of time.
 
There are several credit scoring systems available in USA. Out of them FICO score is most popular among people in USA. The company ‘Fair, Isaacs & Co.' (FICO) is behind this credit scoring system. The FICO system is virtually the standard system in the USA and all big credit reporting agencies use this system.
 
The FICO credit scoring range is from 300 to 850. If you score a perfect 850 doesn't guarantee that you will get whatever loan you want and if your score is 300 that doesn't mean you will not get any loan. The credit score just projects your creditability for loan repayment.
 

If your credit score is 700+ that means very good or excellent credit. You will get the best deal.
A credit score in the range of 680 to 699 means good. You can be pretty sure of getting good deal.
Score from 620 to 679 is ok. You can still get a loan but don't expect that terms and condition will be too generous for you.
FICO score ranging from 580 to 619 implies that you are the most sought after person by banks and brokers because you will get loan but on their terms and conditions. You will be asked to pay higher interest rates. They will ask for fat commissions.
If your score is in between 500 to 580 then you are in trouble. You will get loans which you don't want.
Any thing below 500 is considered as poor/bad credit score and you should think seriously about this. You need professional help for bad credit. There is very little that can be done to help you. Still if possible, terms and conditions will be simply brutal.

 
Bad credit mortgage companies are those companies, which are ready to pay loan to bad credit scorer against assets of same value.
 
If a person wants a personal loan and has bad credit, possibly banks and other financial institution will refuse to lend money. With bad credit score you are simply not at all worthy of credit. If some financial institution will be ready to lend they will charge very high interest rates. Here a bad credit mortgage company comes into the picture. One can avoid all these unnecessary problems if he goes for a mortgage loan. But one thing to be remembered is that if you are not able to pay the loan, the lender will sell the asset to recover the money.

View this post on my blog: http://www.mortgagecreditloan.com/mortgage-bad-credit-score/how-your-credit-score-impacts-your-mortgage.html