Does Applying for Credit Cards Hurt Your Credit Score?
Have you ever wondered if applying for new credit cards will negatively impact your credit score? With tempting sign-up bonus offers and an array of perks to choose from, it can be hard to resist applying for the latest and greatest credit card. But before you submit that application, it's important to understand the potential effects on one of your most vital financial assets—your credit score. Why Your Credit Score Matters Your credit score is a three-digit number that gives lenders an idea of how reliably you can pay back a loan or credit card balance. Scores generally range from 300 to 850, with higher scores signaling lower credit risk to lenders. This leads to better terms for loans and credit cards, such as lower interest rates. A high credit score can save you thousands of dollars in interest charges over the lifetime of a mortgage or auto loan. Excellent credit also makes it easier to qualify for apartments, cell phone plans, and other services. That's why it's so ...
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