Borrowers gain access to credit again, but with increased risk

Recently some lenders have begun to loosen restrictions for borrowers and issue new credit card offers to those with subprime credit scores.

Subprime scores usually fall in the 620 to 660 range, though consumers who fall into this bracket have likely had credit troubles in the past. As a result, they may still be at a greater risk for a default or delinquency in the future.

According to a report by The Today Show, there has been a 300 percent increase in the amount of offers that have been sent out by credit card companies since June. Many of these new card applications come with high fees and interest rates.

As a result, consumers who apply for these new cards could risk harming their credit reports, as another delinquency would likely set their credit scores back by 60 to 80 points.

Because of this risk, these consumers should be more diligent about checking up on their reports. Delinquencies and other black marks typically expire within seven years, but could linger for longer if left unchecked.

Consumers worried about their credit reports can speak to a credit repair company, as they can help resolve disputes between a consumer and financial organizations.