If you have decided to apply for a mortgage, there are a number of important details you need to go over first. One of these is the term “Credit Scores” which are basically three-digit numbers based on a detailed analysis of your credit reports. These scores establish whether you meet the criteria to obtain a mortgage thus forming the basis of the approval of lending a mortgage. How credit score impacts mortgage is very important regarding what type of mortgage or financing one can quality for. A mortgage lender also uses credit scores to decide factors related to your mortgage such as interest rate, mortgage installments, and amount of loan.
Taking into consideration the significance of these credit scores, legislations have been passed to allow or give users access to free annual credit score reports. Since these reports are usually free, you should keep an eye out for companies that require you to pay for a credit score reports.