Income vs credit score: Why earning more doesn't guarantee a better score, experts explain
New Delhi, Sept. 3 -- Having a high salary or a steady income can provide greater financial comfort, but it does not automatically translate into a strong credit score. Creditworthiness is determined less by how much an individual earns and more by how responsibly they manage credit.
This distinction is particularly important for first-time borrowers, who may assume that a higher salary will make it easier to qualify for loans and credit cards.
Credit scores are not directly linked to an individual's income. Instead, they reflect how responsibly a person manages debt and repays their obligations.
Raj P Narayanam, Executive Chairman, Zaggle, explained, "Income and creditworthiness are not the same thing, and this is one of the most comm...
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