With a credit score of 700, you are in the “good credit” range according to the FICO measurement. You can easily obtain personal loans from any of the following services - iPaydayLoans, US Installment Loans, WeLoans, CocoLoan, and PersonalLoans, and you can find lenders to fund you up to $35,000 with competitive interest rates.
Personal loans are unsecured loans obtained by a borrower from a bank, credit union, or online lenders to finance their personal needs. They are borrowed as lump sums and repaid in monthly payments or installments over the life of the loan. Their interest rates are generally lower and the loanable amount higher than short-term loan options like payday loans.
Why Do Americans Take Out Personal Loans?
Americans take out loans for much more than emergencies. In most cases, loans are for debt consolidation purposes or financing large purchases their savings cannot buy. Americans' most common uses for personal loans are home buying, real estate improvements, medical bills, car financing, vacation, business, and credit card refinancing.
Maintain My Credit Score
Prompt payment - One’s credit score is determined by factors like payment history, credit usage, new credit requests, age of credit accounts, and credit mix. Payment history makes the greatest contribution. So, avoiding late payments and paying bills as and when due can keep your credit score at a stable level.
Keep updated on your credit score and profile - Look up your credit score frequently to see what may be affecting your credit ratings. Dispute suspected errors if any. Although it may take some time, a correction can help improve your credit ratings. Also, keep an eye on your old credit cards to be sure no identity thief is using them.
Apply for loans/credit cards only if needed - Some loans are quite easy to obtain, and it may become tempting to compulsively borrow even when you don’t have serious money needs. We recommend only applying for a loan or line of credit when you need cash. Too many loan requests in a short time are going to affect your credit record and may reduce your score a bit.
Improve My Credit Score
Manage credit utilization - Credit utilization is the ratio of the amount of revolving credit one’s using to the total credit available across the user’s accounts. The recommended credit utilization ratio is 30% or less. You can reduce credit utilization by requesting a credit limit increase or reducing your spending in general. The lower your credit utilization, the higher your chance of boosting your credit score.
Consolidate existing debts - Consider obtaining a debt consolidation loan if you want to pay off multiple outstanding debts. A debt consolidation loan allows you to combine multiple outstanding debts into one so you can pay only one monthly fee with a consistent interest rate instead of dealing with multiple debts at once. Loan consolidation can help build your credit gradually without running into frequent late payments.
Do not close old accounts - Another key to improving your credit score is leaving all your old accounts open, especially those that have been paid for. Keeping old accounts open represents financial stability, which will increase your credit rating over time. In addition, most lenders consider borrowers with older average credit age to appear to be more reliable than those with short or relatively new credit histories.