Having a good credit history is one of the first steps that everyone must do in order to obtain financing. This simple fact allows us to show how the performance is with credit management.
Before applying for a loan, it is important to take into account everything that it implies. Looking at interest rates is one of them, since these vary depending on the destination of the credit (real estate, consumption, commercial microcredit).
That is why it is very important that you know in detail the product you are purchasing, in addition to having made a budget to be sure that you are going to be able to pay for it adequately and in the time it was given. All these experiences will help you build the track record you need to be able to aspire to other financial products that are more sophisticated, such as car loans or mortgages.
At the time you have a credit history, you are generating payment history, so the entities that grant money can use this history to assess whether you are a good credit subject or not. If credit histories did not exist, it would be very difficult for entities to know if people are responsible in the use of credit. In addition, it would not be possible to calculate how much money can be lent to avoid over-indebtedness, for example.
That is why the information on the financing that the loan applicant has had in the last 6 years appears in the Credit Report. This period of time allows you to have a detailed perspective of your performance. In addition, it prevents a small mistake from the past from having too much weight in determining whether or not you are awarded the money.
TIPS THAT SHOULD BE TAKEN INTO ACCOUNT WHEN APPLYING FOR A CREDIT
Know what you need the money for and the amount you require. This point will help you choose between different types of credits. This way you will have a more defined action plan such as the amount you need, the term and the payments you will need to make month by month.
Compare between the different options. It is essential that you carefully review aspects such as the interest rate, the CAT or the possible commissions. Include debt payments in your budget. Organizing your finances well is essential to avoid debt. It is not only important to have a good credit history, but it will allow you to build good personal finances.
Compare between the different options. It is essential that you carefully review aspects such as the interest rate, the CAT or the possible commissions. Solve all your doubts. Before saying yes to the loan, it is important that you resolve all the doubts you have about it. Clearing all the questions allows you to make the right decision at the time of acquiring a loan.
Verify that it is a reliable company. Unfortunately there are supposed companies that are dedicated to fraud, especially on the Internet. That is why you must ensure that the institution is regulated by the Condusef or has some other regulatory entity such as the Ministry of Economy.
Have all the necessary documentation at hand. When you already know all the credit requirements, it is time to gather all the documents you need. It is a way to speed up the process. If you do not have all the documents when they ask for them, the processes of granting the loan can be delayed.
Include debt payments in your budget. Organizing your finances well is essential to avoid debt. It is not only important to have a good credit history, but it will allow you to build good personal finances.