Credit is very important to have especially that you will need to buy assets such as homes, cars, furniture, borrow money, or even land you a job with a company. You’ll need it to prove yourself worthy so the creditor that is checking it will determine whether or not you qualify for that particular product or service you are buying into from them. They want to know what your history is so it will help them make the decision to move forward with you to do business with them for the long term.
Now, we all fall into different levels of our credit rating. Some of you may have poor credit, some even no credit to those who have great credit. Poor credit would mean that you’ve had some issues with credit companies such as not paying your bills on time, not paying your debt from school loans to car loans, or, even having credit card debt that don’t even belong to you that has been fraudulently been used. This can show up in your credit report as a negative blemish. Make sure to report this abuse right away the moment you see your bill statements that have been illegally been used.
If you don’t have any credit or little credit, you may want to apply for some right away. An ideal amount would be is to apply with 3- 4 credit cards. Apply with Visa, MasterCard, Discover and 1 department store credit card. If you find yourself getting denied for credit in the beginning, you may want to go to your bank and ask for them to open a secured credit card. This is a credit card that you will put money against so it will reflect the credit limit you will receive. For example, if you have an initial $1000 you’d like to secure a credit card with, you will receive a credit card that will have the equivalent amount that you can use for purchases.
These type of credit cards will report to all 3 credit bureaus, Experian, Equifax, and Trans Union. These 3 are major credit reporting bureaus that are used to identify your credit worthiness from the start date you opened those credit cards and loans to the current date. This will be a great way to establish credit because you’ll be on the fast track of setting yourself up for success for credit worthiness.
If you have some credit problems, do attend to them right away so you can have yourself a future of great standing with creditors and enjoy low interest rates and any type of loan that you are seeking, especially vehicles and a homes. You will be leveraging this for expanded growth because we are all wanting more and more out of life and your credit can be your boost to shake things up for your financial future.
Some quick fixes that you can do to repair any damage you may have done on your credit report is to face them head on and start making payments right away. Call the creditor or issuing loan/financial company and make some type of repayment promise so they can keep you in good standing. You don’t want to go past 30 days late or it will go past due and show as late on your credit reports and you don’t want to get into that situation. The sooner that you fix these matters, the better well off you are.
There are many other good ways to fix your credit but a good way to find a solution is going to a credit repair company called, LexingtonLawFirm.com and have them do the heavy lifting for you since they’ve had over 15 years of experience in helping thousands fix their credit in a short period of time. They’ve had a proven track record and I am living proof that they are a very legitimate company to improve your credit. Sometimes writing letters to the credit bureaus on a consistent basis will make them delete those derogatory reporting items. It just takes dedication and the will to clean them up.
Some ways to boost up your credit score is to pay your bill before the due date, say about 1-2 weeks before that because banks and lenders will see that and will want to give you the money you are seeking. When you pay in advance, another added value tidbit would be to pay an extra 15-25% more than the minimum due. Now banks will really love that and see you as the most responsible person and the top 5%, more than the average client.
The best way to have a score of over 700 is to pay early, pay an extra 15% more than the minimum, keep the balances low below 30% of the credit limit, have at least 3-4 credit cards like VISA, MC, Discover, and even one department store credit card like Nordstrum or Walmart in active use, and don’t co-sign anyone, don’t close any credit cards especially if you’re trying to buy a house. Remember, don’t apply for several credit cards during the process of buying a house or car because you don’t want so many inquiries showing on your credit report because those kinda hurt your score. The least amount of inquiries you have, the better well off you are. Those inquiries take about 2 years to fall off your credit reports so take it easy with applying for credit.
When buying a house, banks want to see at least 2 years of good credit history so you must work hard and smart maintaining the credit standing you need to be in. Check your credit reports at least once every few months to see if there are no blemishes on it because sometimes you can have some errors made by your bank and you’ll need to have them corrected right away. Or, you can have someone use up your credit under fraudulent intent so do keep an eye out.
Credit is part of life and it will follow you wherever you go so take good care of it, be conscious about it because it will leverage you and save you in many cases. There are a lot of people and companies that can help you out there but be careful who you invest in with because just some simple tips can make your credit awesome and that’s all you need in most cases.