If you are considering applying for any sort of credit, including a loan, credit card, mortgage, etc., you need to understand the type of credit you are considering and its possible risks. One important step to take before signing the dotted line is to review your financial situation to see if you can handle another monthly payment. Establishing a monthly budget is essential to determining how much credit you can truly afford. The American Financial Services Association (AFSA) has a great budget planning tool that can help you determine how much disposable income you have at the end of each month.
After you have established a monthly budget, your next step is to determine which factors may be affecting your perceived amount of risk to lenders, which can impact the interest rate you receive. AFSA created an informative educational packet that explains what these factors are and how you can improve your credit risk.
If you have any additional questions, contact your local Mariner Finance branch today to speak with one of our knowledgeable representatives. They will be more than willing to answer any questions you may have!
This material was prepared for general distribution. Although all blog posts are intended to be accurate, the information and third-party links provided in the Mariner Finance’s blog are intended for general knowledge and educational purposes only without any warranties, implied or express, of any kind. The posts do not constitute investment, financial or other advice. Authors may or may not be licensed financial professionals; for specific advice, seek the input of a licensed and trained financial expert. Mariner Finance’s blog entries may also be viewed at www.pioneercredit.net and www.personalfinancecompany.com.
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