Does Your Credit Score Really Matter?

Yes, your credit score does matter! There is a direct relationship with lenders on your credit score and what kind of interest rate you can expect to receive from the lender.

OK, the scenerio is that you start shopping lenders for rates. They give you the best rate but that is based on a great credit score! You later find out that your credit score is only 660, so you receive a higher interest rate of 5.079% instead of the 4.466% that was quoted you. See the chart below:

30 year Fixed Rate Mortgage - $200,000 Loan Amount
FICO Score APR Monthly Payment
760-850 4.466% $1,009
700-759 4.688% $1,036
680-699 4.865% $1,057
660-679 5.079% $1,083
640-659 5.509% $1,137
620-639 6.055% $1,206

What's the solution so you won't be blindsided? Get pre-qualified! Have the lender run your credit score so you know what your rates will be and your payment. When interviewing with lenders, find one that you feel is honest and has your interst at heart, is knowledgeable and is willing to take the time to explain things to you. Don't shop rates!!

I will be happy to guide you in your search even though I am not a lender but have enough experience in the business, I know who you need to work with that best fits those guidelines.