What Is a Good Credit Score in Florida?

Your credit report contains a record of all open credit accounts you may have, including car loans, mortgages, and credit cards.

Banner image

However, a credit report also contains negative items as well, such as collections, foreclosures, bankruptcies, and accounts closed and written off. 

Your credit report will also contain a score that takes all these details into account. Below, we’ll discuss the world of credit reports and scores, how to maintain a good score, and how you can work with the best credit repair companies in Miamito get inaccuracies removed from your credit report.

Who Creates Credit Reports?

In the United States, there are three primary credit reporting agencies–they are known as Equifax, Transunion, and Experian. Together, these three companies hold the power to make sure your loan is approved or denied. 

Once your credit card or loan has been approved, the financial institution will begin reporting the status of your accounts to the credit reporting agencies. They’ll report the original loan amount, credit limit, and the amount you currently owe. Furthermore, they’ll include your monthly minimum payment to assist banks in determining if you are taking on too much debt in relation to your income. 

What Are Credit Scores?

Using proprietary formulas, credit reporting agencies will each assign you a credit score. The number ranges from 300 to 850. The higher the score, the better your chances of being approved for a loan, so long as you have the income to support it. 

In order for a loan to be approved, most lenders will want to see a credit score in the mid-600s, at the lowest. Anyone below this is what is considered subprime, meaning they are at higher risk of non-payment. That’s not to say someone with a credit score in the 500s won’t get their loan approved, but they will likely pay a much higher interest rate that matches the level of risk the bank perceives in the recipient. 

How Can I Raise My Credit Score?

The easiest and most obvious way to maintain and raise a credit score is simply to pay your debts in a reliable and timely manner. Other ways you can help your credit score may include the following:

  • Don’t max out your credit cards—this shows poor impulse control and demonstrates that you may struggle to manage your finances.

  • Leave some older accounts open. The older the account, the greater the history of good credit you’ll have, which leads banks to believe you are a reliable customer.

  • Obtain a free annual credit report and examine the report for inaccuracies.

What If I Find Inaccuracies on My Credit Report?

In Florida, laws such as the Fair Debt Collection Practices Act and the Fair Consumer Collection Practices Act help to cover how and when debts may be collected. However, this won’t stop a company from attempting to collect a debt by any means necessary. If you think the collectors are in error, however, you may want to research how long before a debt is uncollectible in Florida.

Sometimes, the debt a company is trying to collect is either expired, already paid, or totally erroneous. In instances such as these, credit repair companies such as The Phenix Group can help get these inaccuracies removed by reaching out to creditors, collections agencies, and the credit reporting bureaus themselves. They’ll file the necessary paperwork and fight to make sure your credit report only contains accurate information.

We Fix Bad Credit

100% Free Consultation

Call Now