The term credit generally refers to a financial agreement in which a borrower receives a certain amount of money or a valuable and repays the lender at a later date, mostly with interest. Creditors grant credit to individuals and businesses based on trust and mutual agreements. For instance, banks will let a person borrow money through a credit card, in hopes that they pay it back within a stipulated period. The individual gets the loan […]
Credit bureau-based risk scoring systems, their formal title, have been commercially available since the late 1980s. They were initially used by credit card issuers but were quickly adopted by other types of lenders. The last holdout was the mortgage lending environment, but that too changed. In the mid 1990s, Fannie Mae and Freddie Mac informed mortgage brokers and lenders that they would have to begin using credit scores as part of the mortgage decision-making process. […]
What makes up your business credit score? What gives you the best chances of getting a loan? Here are a few factors that play into your business credit picture, and what you can do to make the most of them: Payment History – Your payment history is an important part of your business credit profile, and is what your D&B Paydex score is based on. Many credit opportunities come with a minimum Paydex requirement. What […]
Research from the Federal Reserve Bank of New York shows that more than half of small business owners who apply for a loan, fail to secure them. One of the primary reasons cited is that the businesses that apply for these loans have poor business and personal credit scores. As a business owner, you should know that keeping your business credit and personal credit and all financial information separate and well organized is essential for […]
In the simplest terms, credit insurance will cover the cost of your loan or credit card payments in the event that you are unable to pay the loan. It is insurance purchased by the borrower to cover their debts in case of any sudden eventualities such as death, or unemployment. In most cases, credit insurance will not be marketed as a stand-alone type of insurance, but as one of the features of a credit card […]
