What is score and why it can be important at the time of the loanWhat is score and why it can be important at the time of the loan

If you ever needed, or still need, a personal loan or financing, you’ve probably heard of Credit Score . But what is score ?

Credit score , in general, is an analysis done by financial institutions. It serves to know what your ability to repay a loan or financing without default.

How is the score calculated?

How is the score calculated?

The score takes into account your financial profile. In it, enter the monthly income, history of debts, civil status, if you are employed at the time and also your consumption habits.

After that, a punctuation with its aspects is made. This score goes into a measuring ruler from one to 1,000. The higher your score , ie your score, the higher the chances of you getting a credit authorization.

See the table below and better understand what a score is as assessed:

It is worth mentioning that each company has its credit approval policy. So even with the chart in hand, check with the institution directly if your score is sufficient to open credit and what conditions will apply.

Want to know more about it? We made a video to show how the score works and how to improve yours.

How to consult the score?

How to consult the score?

It is important to be aware of what your score is before you plan for a loan or financing application. This can help you organize and improve the aspects that influence your score.

Therefore, companies such as Boa Vista SCPC and Serasa perform this free consultation on their digital platforms, from the registration of their personal and financial data. Other companies also provide this advice, but there are costs to check.

Keeping your information current on these platforms can help you understand the best time to apply for a loan in the market. That’s because these queries are dynamic. Once registered some of your movements will cause your profile to be updated, and your score is changed, or not. If you are a partner or owner of a business, for example, and you are having financial problems, your score is likely to be down.

My score is low, now what?

The probability that some company will release credit for you is very low. As we have already said, ensuring your debt compliance is compromised.

But there’s still a way to reverse it! There are some ways to increase the score. P agar bills on time, clear the name in the market and pay off arrears, can help.

As you can see, score is the reflection of your financial image for institutions and companies. So keep an eye on your finances!

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