Monday, November 26, 2018

The Surprising Financial Milestone That Hurts Your Credit Score

Maxing out credit cards, falling behind on bills, going into foreclosure—these are all known villains that will slay your credit score. But did you know that buying a house will also most likely cause your credit score to drop? That's right; after you've demonstrated utmost financial responsibility by establishing a solid credit score and saving for a down payment, taking out a mortgage will ding your score.

On average, credit scores dip by 15 points after purchasing a home, but they can drop by as much as 40 points, according to a new analysis from online loan marketplace LendingTree. The analysis looked at more than 5,000 consumers who took out a mortgage, examining how it affected their credit scores over the following months.

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from Apartment Therapy | Saving the world, one room at a time https://ift.tt/2An0rg4

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