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Having no credit is different from having bad credit because
Having no credit is different from having bad credit because
- Having no credit means you have a history of late payments
- Having no credit means you have a low credit score
- Having no credit means you have never borrowed money before (correct)
- Having no credit means you have a lot of debt
Why do lenders sometimes deny loans to individuals with no credit?
Why do lenders sometimes deny loans to individuals with no credit?
- They are unsure of the individual's ability to repay the loan (correct)
- They assume that individuals with no credit are not responsible with their finances
- They are not allowed to lend to individuals with no credit
- They prefer to lend to individuals with bad credit
What is the only way to build credit?
What is the only way to build credit?
- To have a lot of debt
- To have a high credit score
- To use credit (correct)
- To borrow money from friends and family
Why is it easier to get credit if you already have a credit history?
Why is it easier to get credit if you already have a credit history?
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What can individuals do to start building credit from scratch?
What can individuals do to start building credit from scratch?
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