2007-04-14 11:18:41 · 3 answers · asked by georgia j 1 in Business & Finance ➔ Credit
Because that means you have not established credit and when applying for a loan it will hurt you in most cases. banks want to see a history of some type in order to tell if your going to be a risk or not.
2007-04-14 11:27:20 · answer #1 · answered by K F 3 · 0⤊ 1⤋
It's not always a bad thing. It just depends on what you're trying to do. Most cc companies and other institutions that are considering you for a loan need to see that you have an established credit history. That is how they will tell what type of a payer you are. Without that, they cannot really make a smart decision about you.
If you are seeking a mortgage loan, however, you can use non-traditional credit.
2007-04-14 18:28:59 · answer #2 · answered by YSIC 7 · 1⤊ 0⤋
fico is an all around average score that loan officer and many other creditors use to determine your credit worthiness. i went through this recently when i bought a home. some loan officers find it more important than others. fortunately, i had a real estate agent who knew how to talk his way around it.
mainly fico is like your sat score of credit. something that creditors will look to often.
2007-04-14 18:27:51 · answer #3 · answered by Anonymous · 0⤊ 0⤋