True Cost of Low Credit Scores on a Mortgage

Proverbs 27 "If you lack the means to pay, your very bed will be snatched from under you."



Have you ever considered the cost of damaged or 'bruised' credit?

Missing a payment can't be that big of a deal can it?

Well, take a look at this breakdown of 4 different tiers of credit scores used by Fannie Mae and Freddie Mac to risk base price mortgage loans.

Over the first 10 years of the loan, the differences are staggering and can cost up to $16,000 or more on a $175,000 purchase of a home. Look at the difference between a 699 FICO score and a 700 FICO score.

There has never been a time when credit scoring is more important than it is today in the current state of the credit markets.

Do yourself a favor, get well versed on what actions affect your credit scores. Take care to protect your credit. It is so important and could potentially save you thousands of dollars.