Report finds consumers taking out more loans

A recent report from Equifax indicates that consumers became more willing in March to take on debt again.

In its monthly National Credit Trends Report, Equifax found auto loans and home equity loans achieved year-over-year increases of 23 and 9 percent, respectively.

Consumers also took out more credit cards in March than they did a year earlier, as issued bank cards rose 14 percent during the 12-month span.

Although there was significantly less available credit during March than during pre-recession years, the report found lenders are loosening their restrictions and extending more credit offers than they did in the past two years.

Consumers who are interested in securing a new credit card or mortgage and want to obtain the most affordable rates will likely need to have a strong credit score. Individuals may be able to obtain the boost they need to qualify for a better rate by obtaining credit repair.

By reviewing their credit reports for any inaccuracies or items that may have been reported unfairly, consumers may find marks that can be investigated, disputed and potentially removed from their records. Protecting a credit report from questionable and problematic items may translate into a higher credit score; therefore, employing this strategy prior to applying for a line of credit may save consumers money on interest rates.