Why Do Lenders Care About Your Personal Credit Score?

 


In the United States, when you own a small business, the three credit bureaus keep two profiles: your individual economic history and one business credit history. Evey's profile is critical in obtaining approval for a business loan. If you are setting up a business or your existing business does not have established business credit, this same lender may place a greater emphasis on your personal creditworthiness when making a lending decision.

While your Personal Credit Score and business credit profile express conflicting data about you and your company, both have a significant impact on your company's options and capacity to qualify for a loan.

Some company owners believe that their personal credit rating has little bearing on their company's credit. This really is simply not the case. When deciding whether to grant one company a business loan, a prospective creditor will consider your personal Credit Score.

In general, funding support will look at your credit score to see if you qualify.

  • Do you have the ability to repay the loan?

  • Are you going to repay the loan?

  • Will you still pay the loan even if something unexpected happens?

Your Credit Score is viewed by lenders as an indicator of your fiscal viability and responsibility. Unfortunately, if a lender notices that you are unable to manage your personal finances, they could assume that you are also unable to manage your business finances. This is particularly true if you are a first-time entrepreneur. The only way the lender would be able to determine credit worthiness without an established company history or credit for your trademark is by accessing your credit score.So for more call us@+1-(888) 450-1822  or visit at website: http://www.socialcreditrepairs.com/



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