Before you check out your credit score, the rules of the game are about to change.
Bringing down the hammer. The creators of FICO scores are changing credit scores to punish people who poorly handle debt.
- Your score might be in deeper trouble if you have rising debt, fall behind on loan payments, and or like to take out personal loans.
USA high score. Americans’ credit scores reached new heights in 2019 — 703 was the highest score.
How does it affect my wallet?
Credit complications. Despite consumer confidence being at all-time highs, lenders see problems on the horizon.
- Consumer loan losses may be low, but consumer debt is at record highs.
- With Americans taking out so many loans, things are getting risky for lenders.
The key to keeping a high score. Stay away from having a high credit utilization ratio. That means no maxing out your credit cards.
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