Loans and Credit Rating

[rmorelan]

Ok, I have been getting this quite a bit lately from multiple banks for multiple students and it has been a bit different than what I have seen in the past.

 

I have always previously stand that is your credit is almost relevant when it comes to the LOC - you a medical student, they want your business and will go to great lengths for it. And they will.

 

However if you credit is quite bad (defaulting on credit cards is the worst) even from relatively low monetary amounts being misused you can actually get into trouble with the getting your LOC it seems now. The banks - and I mean all of them - are getting a little bit tougher with things. It seems their internal insurance policies have tightened up. I suspect there is actually some good reasons for that but regardless the effects is clear. I know actually know students turned down from multiple banks due to low credit - and I don't want that to happen to others.

 

In other words you really should take steps to protect your credit rating (which just makes sense in general). You really don't want to lose out on the opportunities the LOC provides.

[ScotiabankMedsAdvisor]

If you are carrying a balance that shouldn't be a problem. As long as you are making your minimum payments each month your credit shouldn't be adversely affected. Normally the issues arise if you have had credit facilities go to collections in the past or if you have been chronically delinquent with your payments.