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Based on the current debt hanging on Lily's account, her credit score will be greatly reduced, and she collects more debts, hence this makes it difficult to pay off her debt.
<h3>What is meant by the term Credit score?</h3>
The term credit score can be defined as a factor usually within the range of
300 to 850 that is used to tell or pass an idea of how a person is creditworthy, in other words, how faithful a person is when they are servicing their loan term.
It should be noted that a poor credit score will limit the size of loan that a person will be able to get and the reverse is the case for a good credit score.
Learn more about credit scores here:
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What Is a Credit Score? A credit score is a number from 300 to 850 that depicts a consumer's creditworthiness. The higher the score, the better a borrower looks to potential lenders. A credit score is based on credit history: number of open accounts, total levels of debt, repayment history, and other factors.
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