Low credit score: If you are stuck with a less than perfect or a really bad credit score, then you can forget about being approved for a refinance mortgage loan. FHA loans are options available for people with low credit scores, but you need to put in a lot of legwork to find them.
>>>This alone makes it easier for people with less-than-perfect credit history (a large majority) to get the loans to build or buy the house of their dreams.Low down paymentWhile receiving FHA loans, one can access financing for their home with only 3.5% needed as a down payment.
>>>Since it is a peer-to-peer lending platform, the background check on credit score is much less stringent than the usual lenders.AvantEven though Avant does not mention a minimum credit score, it is known to be a lender to borrowers with a poor credit score.
>>>It is possible to get a bad credit personal loan from various lenders in the market. A score of 550 or lesser than that means a bad credit and most banks and financial institutions will not be willing to lend you money.
>>>lt;em>Credit scores are determined by factors such as: Payment history - Lenders see how consistent you have been in previous loan repayments. Outstanding amount - Those carrying a lot of debt are considered risky and is less likely to pay back new loans.
>>>Other than credit score, other factors like debt to income ratio, determine the terms of your loan. Having a poor or bad credit score almost always means a higher interest rate.
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