Texas Home Equity Loan Bad Credit Approved Secrets Revealed

How Bad Credit Affects Your Loan Approval

Your credit score is a critical factor that lenders consider when you apply for a home equity loan. A score below 620 is typically considered "bad" by most lenders, but this doesn't mean you're out of options. Lenders look at other factors, such as your income stability, equity in your home, and your debt-to-income ratio. Demonstrating strength in these areas can sometimes offset a lower credit score.