Free Debt Relief Analysis

It's Simple To Start

Gather Basic Information

Answer a couple of basic questions about your debt. Based on your location, debt amount and type of debt, we can recommend a path.

Financial Coaches

Your certified debt resolution specialist will show you how to pay off your debt and give you the motivation to get there.

Debt Free

Follow the payment plan you agree to with your certified specialist and you are on the way to being debt free in less time and for less money than if you did it on your own.

Questions? Call IMG 888-997-5113

Credit Scores: What They Really Mean and How They Affect You

To qualify for any type of loan or get a new credit card, your credit score will be checked to see if you\'re eligible and how high your interest rates will be. But what exactly does this mean? You\'ve already read about how to read a credit report and how credit scores are calculated-learn how your credit score really affects your life.


What is a FICO Credit Score?


A credit score and a credit report are two different things, although the credit score depends on your credit report.  A FICO credit score is based off of your credit history, but it\'s not included in your credit report. Instead, the three major credit bureaus will calculate your FICO based on your credit history. This means you could have up to three different FICO credit scores at one time.


FICO is short for Fair Isaac and Co. The Fair Isaac Company developed software back in the \'80s that helped other companies determine a credit risk based on a number derived from a person\'s credit history.


The FICO credit score ranges between 300 and 850.


What is a Good Credit Score?


Most people score in the 600s and 700s-the higher the better. In the eyes of most lenders, FICO credit scores above 700 are a very good sign of financial health. FICO scores below 600 indicate high risk to lenders and could lead lenders to charge you higher rates or turn down your credit application.


How Do Credit Scores Affect You?


If you ever try to borrow money, the lender is going to look at your credit score to determine whether or not to lend money to you. Buying a new car? They will check your credit score. Checking out dream homes? They are checking your credit score. Even some employers check credit scores when hiring to see how reliable an employee is.


Not only does your credit score determine whether or not you\'ll receive financing, it also determines how much it will cost you to borrow that money. People with higher credit scores are deemed to be less of a risk and will typically receive lower interest rates. Those with lower scores are viewed as risky so the bank will only lend the money at a higher interest rate. With large loans an extra interest rate point could add up to thousands of dollars on interest rates alone.


Make Credit Scoring Work in Your Favor


So, how can you raise your score to maximize your credit-worthiness?



  • Pay your bills on time. Delinquent payments and collections really hurt your score.

  • Keep balances low on credit cards. High debt levels don\'t look favorable.

  • Pay off debt rather than moving it between credit cards. The most effective way to improve your score in this area is to pay down your revolving credit.

  • Apply for new credit accounts only when you need them.

  • Check your credit report regularly for accuracy and contact the creditor and credit reporting agency to correct any errors.

  • If you have missed payments, get current and stay current.


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Benefits of Debt Consolidation

  • Lower Interest Rates
  • Lower Monthly Payments
  • Eliminate Debt in Less Time
Learn About Debt Consolidation