War Is Bad for Your Wallet
If you are of the generation that has the attention span for such things, you can watch the talking heads on the news debate about whether what is going on between the United States and Iran in 2026 qualifies as a war. There are even some corners of Philadelphia to which the Washington, D.C. mindset emanates, and if you happen to live in one of these outer bands of the Capital Beltway, you can even keep clicking back to the live blogs on certain news websites where, it appears, the situation fluctuates between war and peace in a 24-hour period. If there is one thing you can be sure of, though, it is that this maybe-war has not made American consumers’ financial situations better, not that our finances were in good shape before we started. It has been months since we last saw gasoline cost less than $4.00 per gallon. We are breaking our New Year’s resolutions not to incur more loans in 2026, but not before congratulating ourselves for sticking to our New Year’s resolutions for as long as we have. If you can get approved for a loan at all in the current economic climate, you should rejoice, no matter how expensive the payments are. If you are struggling to keep up with your loan payments, or if you have been applying unsuccessfully for loans, contact a Philadelphia debt relief lawyer.
International Conflict Makes Lenders Squeamish About Lending
Tamim Ansary once worked for the state of Texas, contributing to and editing textbooks to be used in schools, where the books would assume that readers had lived in Texas their whole lives, so when the editors told the history of the world as one story, they made Texas the center of the world. In the early 2000s, in his book Destiny Disrupted, he remixed the story of world history with its vantage point in Afghanistan, where he lived as a child. A recurring theme that he sees in history, no matter where your frame of reference is, is that, in times of uncertainty, people lose their tolerance for ambiguity.
Economists take as panoramic a view of the economy as historians like Ansary do of history. They can tell you that lenders become risk averse in times of uncertainty, including armed conflicts. Scarcity makes prices high, and people need to borrow money. Meanwhile, lenders are hesitant to lend, even when government policies keep interest rates relatively low. The result is that lenders are now lending more selectively. You have probably operated on the assumption that 670 is the credit score you need to qualify for a mortgage. In today’s economy, though, your credit score will probably need to be substantially higher to get a mortgage loan.
Contact CONSUMERLAWPA.com
A Philadelphia consumer law attorney can help you straighten out your finances to qualify for a home mortgage. Contact CONSUMERLAWPA.com to set up a free, confidential consultation.
Source:
cnbc.com/2026/05/02/us-iran-war-credit-score-loans-mortgage-rates.html
