How good are you with your money?Take this 2 minute quiz to get your financial wellness score!
Click Here to Start*Bonus: Learn about my new book, Get Good with Money

Four Ways Good Credit Saves You Money

Four Ways Good Credit Saves You Money

By TheBudgetnista -  Tags: , , ,


It’s about time we had another honest conversation about that three-digit score that can cost you a ton of grief...

I’m talking about your credit score. Dun, dun, dunnnnnnnnn. (Cue the dramatic horror movie effects.)

A good credit score doesn’t only impact your ability to get approved for a credit card or a loan; it also affects how much you pay for it.

Bottom line: A better credit score gets you a lower interest rate, which reduces your monthly payments. This is monthly savings that could be used to pay off debt, beef up your savings account or help you pursue a life-enriching passion.

Here are four ways a good credit score can save you cash:

1) It’s Less Expensive to Finance a Car

I’ve been riding around in my whip, aka my used 1999 hooptie, for what feels like, forever. I paid $4,000 for it in cash about 10 years ago.

So you can only imagine how excited I am that Ford Motor Company has allowed me to test drive the 2017 Ford Fusion Hybrid as I head to the Essence Festival to speak on their panel!

Check out my test drive here:

Since I’m on the hunt for a new car, auto loan interest rates are at the top of my mind. Let’s look at a quick example of how a high-interest rate hurts your pocketbook.

Say a poor credit score lands you a 6% interest rate on an auto loan for 60 months.

A loan of $10,000 will cost $193 per month and $1,600 in total interest for 5 years.

What if a good credit score gets you 3% interest?

The same $10,000 loan will cost $180 per month and $780 in interest for 5 years.

That’s an interest savings of $819! Woot Woot!

You could finally start that investment account you’ve been procrastinating about.

2) It’s Less Expensive to Own a Home

Same interest savings applies here, but on an even larger scale.

A home is one of the largest purchases most of us will make in our entire lives.

Just think about it, you’ll be making payments on that mortgage for 30 years.

If a bad credit score gets you a less than desirable interest rate, that’s 30 years of savings you’re missing out on that could be used for retirement.

That could add up to thousands of dollars over the life of your mortgage!

3) It’s Less Difficult to Repay Credit Card Debt

If you’re repaying credit card debt, a bad score can keep you locked into a contract with high interest.

On the other hand, a good credit score gives you more options to pay off debt faster.

You can negotiate with your credit card company to lower the interest rate. You can also qualify for a balance transfer deal.

A balance transfer is when you move your debt to a new credit card that has low-interest or no-interest for a certain amount of time.

Your FICO score needs to be in the high 600’s to have the best chance at getting approved for a balance transfer.

4) Your Utilities Can Cost Less

Did you know that some utility companies charge you more if you have a low credit score? Yup!

Here’s why… A low credit score can signify that you’re less likely to pay a bill or creditor on time, or in full.

If your score is low, some utility companies try and get as much money from you upfront, by charging you more in anticipation that you will likely become delinquent later on down the line.

If your credit score is high, those same companies assume that you’ll make timely payments and extend a lower monthly rate, knowing that payment will not be an issue.


How Do You Raise Your Score?

I made a short video to help you, now:

Want to Learn EVEN More About Credit?

Of course you do. Improving your credit is going to save you money, right?

You can learn more about money and credit with me on stage during the Essence Festival on Ford’s panel and Sunday,  July 3rd at 1pm.   

Want to come? Sign-up here for FREE. Space is limited: http//

Go Further Sessions 1 (1)


As I mentioned before, Ford Motor Company has been kind enough to loan me their 2017 Ford Fusion Hybrid to test drive. It’s super quiet, feels like luxury on the inside, and is awesome on gas; an important feature for a saver like me.

As I prepare to speak on the Ford  panel, during the 4th of July weekend, I’ll be test driving this beautiful car. Will it be the one?!


See you at EssenceFest for Ford’s panel on Sunday at 1pm. Register here, now: http//

Live richer,

Tiffany “The Budgetnista”


*** Ford Motor Company hired me to share my Ford Fusion and Essence Festival experience

My Lisa Rule: I have 4 sisters and Lisa is the baby (well she’s not a baby anymore). Of all of my sisters I’m the most protective over her. Before I share any product or service with you, it must pass my Lisa Rule.

What’s the Lisa Rule? If I would not advise Lisa to use a product or service, I won’t advise you to. YOU are my Lisa. I feel protective over you and your financial journey.

The products/services mentioned in this post pass my Lisa Rule. Yes, I’m a spokesperson, but I would not recommend a product or service that I didn’t believe was helpful and useful.

Get FREE Weekly Goodies!

Join the mailing list to get FREE weekly budgeting goodies directly to your inbox.
Tiffany “The Budgetnista” Aliche is quickly becoming America's favorite, personal financial educator. The Budgetnista is also an Amazon #1 best selling author (The One Week Budget and Live Richer Challenge), sought-after speaker and teacher of financial empowerment.
DISCLAIMER: Please read this Disclaimer carefully before using the Website (the "Website") operated by CLD Financial Life ("us," "we," "our") as this Disclaimer contains important information regarding limitations of our liability. Your access to and use of the Website is conditional upon your acceptance of and compliance with this Disclaimer. This Disclaimer applies to everyone, including, but not limited to: visitors, users, and others, who wish to access or use the Website.

By accessing or using the Website, you agree to be bound by this Disclaimer. If you disagree with any part of this Disclaimer, then you do not have our permission to access or use the Website.

Tiffany “The Budgetnista” Aliche is not a lawyer, accountant, credit analyst or investment broker. Information Tiffany Aliche provides during her presentations is for informational and educational purposes only. Tiffany Aliche assumes no responsibility or liability for any errors or omissions in the content provided. The content Tiffany Aliche shares in this video, workshop and/or presentation is provided on an "as is" basis with no guarantees of completeness, accuracy, usefulness or timeliness. The information shared is from Tiffany’s personal experience wherein she increased her credit score, reduced her taxes, increased her earnings and shifted her business organization. Any reference to credit scores that “Jump like Jordan” should be taken figuratively—not literally. Any reference to credit scores that Jump like Jordan is not a guarantee that your score will increase similar to Tiffany Aliche.

Tiffany Aliche’s personal success is not a reliable indicator of future results. It is very important to do your own analysis before making any financial, legal or accounting decisions based on your own personal circumstances. You should take independent financial advice from a professional, or independently research and verify any information before implementing any information that Tiffany Aliche shares and you wish to rely upon.

Affiliate Disclaimer: We participate in the affiliate advertising program, which is designed to provide a means for us to earn fees by linking to their products or services on our Website. The fact that we participate in this affiliate program means that compensates us for the inclusion of links that are clicked on and our reviews.

Changes: We reserve the right to amend this policy at any time without any prior notice to you.
© Copyright 2020 - The Budgetnista Blog - All Rights Reserved
linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram