When it comes to purchasing your next vehicle, determining where you stand with your credit is an important consideration and something you must first take a look at. A good credit score can go a long way in securing a favorable auto loan, as it shows you’re a trustworthy borrower who can be relied upon to make payments on time and stay on schedule. And while poor credit history does put you behind the curve, there are ways to get back on track and start improving your borrowing reputation.
Here at Balise Honda of West Warwick, our financing team gets plenty of questions about credit history as related to financing a new Honda model off of our lot. We’re happy to address a number of these inquiries below, and discuss any additional questions you have here in person or over the phone.
Whether through missed payments or lapses along the way, you may now find your FICO score or outside credit score to be sorely behind. All is not lost, however, as a review of your most updated credit report from any of the three outside agencies or FICO itself can illuminate the problem areas. From there, it’s on you to begin making payments and respective adjustments to begin developing credibility in this area.
Reliability is the most important aspect of a shopper’s credit borrowing history. A vehicle is a very large investment, so the lender needs to be able to trust that you will make your payments on time and hold up your end of the bargain. A FICO score with high marks is a good indicator that you can be trusted, and can lead to obtaining better credit and interest rates that are favorably lower.
With a range of 300-850, your credit score may fall in a variety of places depending upon your history and upkeep. Marks above 700 indicate you’re a reliable borrower, while scores below 620 indicate there may be some inconsistencies in your history.