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When it comes to the risk obtained by lenders and consumers, secured credit and unsecured credit are two very different things. Come with us as we explore these two different types of credit and how they can have an impact on your credit score. What Is Secured Credit? Any form of credit that is backed by a physical asset for collateral is what we call secured credit. If you borrow with secured credit and default on your loan, the lender can strip you of your asset to recover the loss they endured. Whenever you take an auto loan out, for…

Unfortunately, credit myths aren’t uncommon. Even people who repair credit often deal with credit myths. In this article, we’re going to explore the top three credit myths in 2021 so that you can better understand your credit and how it works. Myth #1: Credit Utilization Is 30% of Your Credit Score 30% of your FICO score is made up of how much debt you owe, though that is only the general category. The entire piece of the pie is much more complex. Within this category, you’ll find several other metrics, including: ● The total amount of what you owe on…