Credit scores are an important measurement for lenders to understand how likely a borrower will pay back a loan based on one's history.
People with good credit scores have an increased chance of being approved for loans and increased credit lines, whereas those with bad scores are less likely to be trusted by lenders. Here is a look at what constitutes a bad credit score.FICO is one of the two most popular credit score systems used in the United States.
Negative information can include"late payments, collections, repossessions, defaults, foreclosures, settlements, judgments, tax liens, and bankruptcies," per VantageScore.
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