Credit Report Scores – Making a Case for Basic Consumer Awareness

Released on = September 21, 2005, 7:58 am

Press Release Author = Kofi Assan

Industry = Consumer Services

Press Release Summary = The website of Aba Online Credit
(http://www.aba-online-credit.com) examines credit report scores from such a different perspective that consumers feel empowered by the knowledge obtained from the site.

Press Release Body = Apart from luring consumers with credit card solicitations, the airwaves, lately, are saturated with invitations for consumers to order their credit reports without any explanation as to why it is important to do that. Many consumers do not understand the impact of credit report scores on their lives.

Obtaining a loan costs money. How much your loan will cost you depends on the interest rate that you are prepared to pay on the loan. This is what differentiates the average “Joe” from a millionaire when they both apply for the extension of credit from the bank. The millionaire almost certainly has tangible collateral and presents less risk to the bank. With a good credit on top of that our millionaire
friend gets very good interest rates on money he borrows. Joe, on the other hand, probably has nothing to use as tangible collateral, and so in the eyes of the bank Joe’s only collateral is his credit report and fico score. He is therefore more of a credit risk than the millionaire, and this is even more so if Joe’s credit score is low. In terms of risk, consumers must therefore have a deeper appreciation of the
impact of credit report scores on their financial lives. Banks don’t like giving out loans to people with low credit report scores, and even if they do, they usually charge huge interests for such loans. You are a big risk and don’t have any collateral, remember?

With this knowledge, why wouldn’t the average consumer try to improve upon his credit score profile? Any tiny piece of negative information on your credit report can ruin your credit report score or fico score. Ignorance can be very costly indeed. Obtaining your credit reports, fixing errors, and improving upon your fico or credit score should be brought up higher on our priority lists, especially for
those of us who need to rely on the extension of credit from banks to make important acquisitions like a home or a car.

Without making any assumptions about the financial sophistication level of its visitors, Aba Online Credit (http://www.aba-online-credit) presents information on credit report scores in very simple language so that it is not burdensome to the average consumer to understand. For more information and tips, please visit
http://www.aba-online-credit.com

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Web Site = http://www.aba-online-credit.com

Contact Details = Kofi Assan
(484)358-2012