Why high interest rate?

Do you know why the interest rate for your loan is so high? The major reason would be due to your low credit score. Many lenders base their lending decision for your loan (e.g. mortgage loan, car loan) on your credit score. Therefore, before making major purchase, it is recommended that you check your credit score first. If your score is not satisfactory, then it is better for you to improve your credit score so that you can pay lower interest rate later.