We live in an era where having the opportunity to borrow money for a mortgage, education, or other personal financial needs is pertinent. Therefore, having a good credit score and understanding how to manage your credit score is extremely important knowledge to hold. First thing’s first, we need to understand what the difference between a credit score and a credit report is.
A credit report is a bundle of information on your past financial history. This may include your credit history, personal information, your financial accounts, and if you had previously filed for bankruptcy. A credit score is a FICO (Fair Isaac Co.) number which provides lenders information on how risky of a borrower you are. There is a number range for FICO credit scores which starts at 300 and ends at 850. The higher your FICO credit score number, the better borrower you are considered.
Having a good credit score and understanding how to manage your credit score is extremely important knowledge to hold.
When you as the borrower wants to apply for a car loan, student loan, home loan, or credit card the lender can look at your credit report and FICO credit score to determine what you will receive from them. Your credit report and FICO credit score will be used for the lender to determine how much money they will lend you and at what interest rate. The riskier the borrower seems, the amount of money lent to them will be smaller and their interest rate will be higher.
After understanding what goes into your credit history it is important to understand how having good credit can save you a lot of money. The higher your FICO credit score number the less “risky” you are considered as a borrower, therefore your interest rate lowers on your loan. The following illustration is an example of how a higher credit score can save you thousands of dollars:
Photos courtesy of Michael Vosburg / Forum Photo Editor
FARGO, N.Dak. — In 2014, Aspire Bank Owner Toby Kommer—after more than 20 years working for financial services companies—thought of an idea to create a one-stop shop where owners of a small- to mid-size business could have their entire financial team in one building. Wanting to turn this idea into reality, Kommer bought certified public accountant firm Haga & Associates and rebranded it to Haga Kommer Ltd.
Aspire Financial is under construction at 5195 45th St. S., Fargo.
The idea then came to fruitionearlier in this summer. On Jan. 1, 2017, Haga Kommer Ltd. officially rebranded as Aspire Financial and constructed a new building, located at 5195 45th St. S., Fargo, later that same year.
Today, the bank offers a suite of accounting, insurance, investment and other financial services all under one roof.