A bad credit rating can prevent an individual from achieving many of his goals or at least make it more difficult to achieve them. For example, a person wishing to buy a home may find it dramatically more difficult to do so with a bad credit rating. An individual may even find it difficult to secure a car loan or some types of jobs with a poor credit score. Scores that are considered a poor credit rating may depend on the country a person lives in and the lender in question. Often, major mortgage lenders set the tone for deciding whether a credit rating is good or bad; other lenders, however, can still set their own expectations when it comes to a potential borrower’s credit score emergency loans.

In most cases, a bad credit rating depends on the lender’s expectations. For example, a mortgage lender may consider a bad credit rating to be anything less than 620, but most places don’t have a good or bad standard credit rating. Instead, lenders typically decide for themselves what they believe constitutes a bad credit rating. To do this, they typically evaluate what poses a good risk to their particular industry and company. For example, a company may decide that a fair or good credit score is above 620 and any value below 620 is poor loans for bad credit.

The availability of their options is usually determined by an assessment of their credit history. This information is contained in a document known as a credit report.