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Cost of Bad Credit Compared:
How much is a bad credit rating costing you? The information included on the this page will give you an idea of the answer to this question. The economical cost of our Credit Score program can set you on the path to reconstructing your credit history and thereby cut the high interest you are currently paying. Signing up with us is a wise investment in your future. Take a look at the following examples and compare the figures.
Example 1: Automobile Financing:
If you are making payments on a car, you are probably paying between $5,000 and 9,000 more in interest just for having bad credit. This added interest shows up every month in a higher payment.
Take a Look: $20,000 Car Paid Over 5 years:
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Credit Status
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Rate%
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Payment
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Credit Cost
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Prefect
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7%
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$396.09
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$0.00
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Mildly Damaged
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14%
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$465.37
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$4,161.00
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Damaged
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21%
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$529.88
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$8,031.60
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Example 2: Home Mortgatge
Bad credit in auto financing can really hurt, but it is nothing compared to the cost of bad credit when a home is involved. A typical home can cost between $50,000 and $130,000 more in interest if you are buying the home with bad credit, as indicated below.
$100,000 home paid over 30 years:
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Credit Status
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Rate%
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Payment
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Credit Cost
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Prefect
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6%
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$495.55
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$0.00
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Mildly Damaged
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9%
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$804.62
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$53,755.20
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Damaged
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12%
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$1,028.61
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$134,391.16
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Most of the time you cannot even get an unsecured credit card with bad credit. If you do, you are generally expected to pay a high monthly payment or initial fee. Furthermore, the limits.
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