 TITLE: How Subprime Loans Can Affect Your Credit CONTENT: Improve Your Credit Before Applying\n-----------------------------------\nIt's possible to get approved for a loan with subprime credit. But if your financing needs aren't urgent, it may be better to wait and work on your credit so you can qualify for a prime loan with a better interest rate.\nStart by checking your credit score and getting a copy of your credit report from AnnualCreditReport.com to see if there are any specific areas you need to work on.\nFor example, if you're behind on payments with a loan or credit card, get caught up as quickly as possible and make on-time payments going forward. If you have a high balance on a credit card, work on paying it down to lower your credit utilization rate, which is the amount of revolving credit you're using as compared with your total credit limits.\nAlso, check your credit report for errors. If you find anything incorrect or fraudulent, you can dispute it with the credit reporting agencies to have it corrected or removed.\nImproving your credit scores can take time, but it can save you a lot of money over the long run. END