Extending credit to customers is a common practice for many businesses. However there is always a risk that some customers will be unable to repay their debts, leading to bad debts. Properly accounting for these potential losses is crucial for accurate financial reporting and tax compliance. In this article, we will explain the key differences … Read more
Private mortgage insurance (PMI) is an additional cost many homeowners pay as part of their mortgage if they put down less than 20% as a down payment. PMI protects the lender in case the borrower defaults on the loan. If you own your own home, paying PMI could cost you hundreds of dollars more each … Read more
Theres not a one-size-fits-all solution for the number of credit cards a person should own. However, its generally a good idea to have two or three active credit card accounts, in addition to other types of credit such as student loans, an auto loan or a mortgage. Just remember: The number of credit cards you … Read more
If youre trying to figure out what credit score you need to rent an apartment, youre not alone. Renters are usually concerned about having a low credit score for renting. Moreover, as youll soon learn, credit scores for renters vary greatly by both location and building type. Here’s what you need to know about renting … Read more
A good place to start is with two credit cards from different lenders, but there is no magic end point. Focus on spending habits and paying on time. The products shown on this page are mostly or entirely from our advertising partners. They pay us when you click on one of their links and then … Read more
The advice in this article is offered by the team independent of any bank or credit card issuer. This article may contain from our partners, and terms may apply to offers linked or accessed through this page. as of posting date, but offers mentioned may have expired. Bankrate logo. We at Bankrate want to take … Read more
Most mortgages in the United States have a repayment term of 30 years, but you can pay off a home loan in less time. Short-term mortgage loans are repaid in 15 years or less. Even though the monthly payment is higher, you can own your home faster and save a lot of money on interest. … Read more
According to the Amex website, American Express is accepted by 99% of places in the US that accept credit cards. You may not believe this because you’ve probably been to at least one store that has a sign by the credit card machine that says “No Amex” or something similar. I’m not here to dispute … Read more
A FICO auto score is a credit score that is specific to the auto industry and is used by lenders to decide whether to give loans for buying new or used cars. FICO auto scores, like regular FICO scores, range from 300 to 850 and show how creditworthy a person is. But what does a … Read more
A very important federal law that controls how credit information about people is gathered, shared, and used is the Fair Credit Reporting Act (FCRA). The FCRA, which was passed in 1970, tries to make credit reporting fair, accurate, and private. The law covers a lot of things, but some groups don’t have to follow all … Read more