{"id":97,"date":"2014-02-20T14:28:30","date_gmt":"2014-02-20T19:28:30","guid":{"rendered":"http:\/\/www.cardirectvirginia.com\/blog\/?p=97"},"modified":"2014-02-20T14:28:30","modified_gmt":"2014-02-20T19:28:30","slug":"how-your-fico-score-can-affect-a-car-purchase","status":"publish","type":"post","link":"https:\/\/www.cardirectvirginia.com\/blog\/how-your-fico-score-can-affect-a-car-purchase\/","title":{"rendered":"How Your FICO Score Can Affect A Car Purchase\u2026"},"content":{"rendered":"

When it comes to purchasing a vehicle, you probably already know that you should have good credit and that you should check your credit report before making a purchase.\u00a0 But what many consumers don\u2019t understand \u2013 and we are here to explain \u2013 is the relationship between what\u2019s on their credit report and their overall credit score, known as their FICO, and the impact this has on the rate they are charged by a lender to finance their vehicle.<\/p>\n

Basically, a credit report is the \u201craw data\u201d used to calculate the credit score (FICO).\u00a0 A person\u2019s financial behavior patterns are reflected in the credit report.\u00a0 The raw data that is used is as follows, with corresponding weight to impact your score:
\nPayment History (35%)
\nAmounts Owed (30%)
\nLength of Credit History (16%)
\nNew Credit (10%)
\nTypes of Credit Used (10%)<\/p>\n

There are 3 main reasons as to why the FICO score is so important and your should pay attention to it:
\n1-\u00a0\u00a0\u00a0 It\u2019s the Industry Standard, used in more than 90% of lending decisions
\n2-\u00a0\u00a0\u00a0 It determines how much money you can borrow and how much interest you\u2019ll pay
\n3-\u00a0\u00a0\u00a0 A strong FICO score gives you access to the best interest rates, loans, rebates, and premium credit cards.<\/p>\n

So how do you know if your credit score (FICO) is any good?\u00a0 Once you\u2019ve checked your credit report and you know what your score is, compare to the descriptions below and you\u2019ll know how you\u2019re going to measure up before walking in to purchase a vehicle:
\n–\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Excellent Credit Score: 720 and up
\n–\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Good Credit Score: 680 \u2013 720
\n–\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Fair Credit Score: 640 \u2013 680
\n–\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Poor Credit Score: 350 \u2013 340
\n*Sited from www.thecarconnection.com <\/i><\/p>\n

At Car Direct, our goal is to help you in finding the right vehicle for you at a rate that you can afford.\u00a0 Check out our inventory page<\/a> to see what we currently have in stock.\u00a0 Don\u2019t see what you\u2019re looking for?\u00a0 Give us a call \u2013 that vehicle may be on its way in.\u00a0 If not, we\u2019ll find it for you!\u00a0 And then we\u2019ll help you get the best financing possible<\/a>!<\/p>\n

\"Car<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

When it comes to purchasing a vehicle, you probably already know that you should have good credit and that you should check your credit report before making a purchase.\u00a0 But what many consumers don\u2019t understand \u2013 and we are here to explain \u2013 is the relationship between what\u2019s on their credit report and their overall […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[2,3],"tags":[],"yoast_head":"\n\n\n\n\n\n\n\n\n\n\n\n\t\n