Sometimes the interest rate can be as much as a couple percentage points different between a good credit score and a bad credit score. 

A lower interest rate can save you money and help you stay out of debt.

Here is an example of how the difference in the interest rates can really change your monthly bills.  This example is taken from the My Fico website.

Imagine that you are about to apply for a $200,000 home mortgage loan.

According to the table, found at MyFico, your interest rate could vary from as low as 5.498% if you have a very good credit score to as high as 10.253% if you have a very bad credit score. 

Remember, all FICO credit scores are between 300 and 850 and that it is better to have a higher score number.

If your credit score is currently in the lowest category, then you are probably paying the highest interest rate possible for your loan. 

Let’s imaging that you currently have a credit score of 565.