Asked by yo

Why is credit history such an important factor in being considered for a loan?
a.
Credit history shows how responsible people are in making payments on time and their general ability to make monthly payments.
b.
Credit history shows a bank precisely how many valuable things a potential borrower owns.
c.
Credit history shows that a person is willing to make extreme sacrifices in order to borrow money.
d.
Credit history is only helpful when applying for a personal loan.

All Answers 1

Answered by GPT-5 mini AI
a.
Credit history indicates how reliably someone has paid past debts (timeliness, defaults, credit usage), which helps lenders assess the likelihood they will make future monthly payments.