What Costs More: Credit Repair or Living With Average Credit Scores?

With inflation rates skyrocketing, it makes sense that consumers are cutting some of the non-essential items from their budget in an effort so save money.  However, many fail to realize how much they overpay for major and everyday purchases when their credit scores are below 760.

Let’s examine the cost of living with “average” credit scores in the 680-759 range, vs paying for credit repair and getting those scores into the top tier of 760 or higher.

The Cost of Credit Repair

Our typically enrollee will spend about $800 on roughly 6 months of credit repair.  It is a one-time fee as long as the client maintains good credit habits after we finish our work.

The Cost of Having Average Credit


According to MyFico.com on July 26, 2022, a borrower with a 690 credit score will pay roughly 0.4% more for a $500,000 loan (30 yr fixed rate) than a borrower with a 760+ credit score.  May not sound like much but it equates to an extra $130 per month… for as long as you keep the loan.  If you own the house and the mortgage for just 3 years, you’ll pay $4680 in extra interest.  That’s nearly six times the cost of credit repair.

Car Loan

According to US News & World Reports for July 2022, borrowers with credit scores in the 600-699 range can expect to pay nearly 7% higher for their 60 month automobile loan than borrowers with credit scores over 750.  That’s a difference of $140 per month on a $45,000 car loan.  Over 60 months, that poor/average credit score just cost an extra $8400 – over 10x the cost of credit repair!

Credit Cards

Do you ever go a few months without paying your credit card balance in full?  If so, wallethub.com tells us that for July 2022, average credit card rates are almost 10% higher for those with fair credit scores as opposed to those with excellent credit scores.  Maintaining a moderate balance of $4,000 means over $400 per year in extra interest charges.

The Bottom Line

When you add everything up, those average credit scores could mean thousands of dollars out of your pocket every year.  For most families, that is a significant hit compared to a one-time outlay of $800 that would remove negative items from a credit report and potentially allow a borrower to qualify for top tier credit rates.

Financially, credit repair is a “no-brainer” when you really crunch the numbers and and compare it to the cost of living with average credit.  Ready to learn more?  Give us a call and let’s discuss your specific situation.