Major advantages of a good credit score include¹
- Easier to rent an apartment: a credit score of 620 is often considered the minimum credit score you need to qualify for an apartment. If your credit score is 700 or above, it’s more likely that the rental application process will be easier since your good score can help you stand out to potential landlords. Having a good credit score when you apply for an apartment can also protect you from needing to find a cosigner or paying a large security deposit.
- Best rates on car and homeowners' insurance: Most U.S. states allow credit-based insurance scoring, where insurance companies assess your risk based on how well you handle your money
- Cheaper to borrow money: a high credit score would qualify you for the lowest interest rates. You could save upwards of 1% in interest. This could mean saving at least $200 per month over the lifetime of a 30-year mortgage on a $300,000 house
- Better prepared for the future: A good credit score will enable you to borrow money and open best reward credit cards when you need them most
The lifetime costs from mediocre credit scores can be very high, sometimes exceeding six figures². For example
- Someone with FICO scores in the 620 range would pay $65,000 more on a $200,000 mortgage than someone with FICOs over 760
- On a five-year, $30,000 auto loan, the borrower with lower scores would pay $5,100 more
- A 15-year home equity loan of $50,000 would cost a low scorer $22,500 more than someone with high scores
Build your credit score with the Visa card by Cross River Bank
- Your credit score depends on the payment history, length of your credit history & the number of credit cards that you have
- Establish a credit report: To build a credit score you must have an active credit account. Our card has a near 100% approval rate without any credit history or cosigner requirements to help you jumpstart the building of your credit score
- Demonstrate positive repayment behaviour over a longer period of time: The length of your credit history is a key determinant of your credit score. With our card, you can activate your credit card within 24 hours of landing in the US and start transacting immideately. This will help you elongate your credit history and enhance your credit score
- Apply for multiple active credit account: Once you are issued a card and your start building your credit history, it become easier for you to avail multiple credit cards in the future. This will further strengthen your credit report and reflect in the form of a higher credit score
