Credit Score And Its Importance
Your credit score is of vital importance. Your FICO score will determine whether you will receive home loans, car loans, personal lines of credit and more. Without this credit available you will be unable to proceed with important life choices.
Being the proud owner of a solid FICO score is critical these days. Now that we are post-lending crisis the availability of loans is not what it used to be. The days of zero-money-down mortgages and loans to high-risk lenders are over. The only way to become a possible loan candidate is to maintain your FICO score.
The best ways to maintain a good FICO score are:
1.Pay Your Bills On Time
Paying your bills on time is the best thing that you can do for your credit. This factor is the single most important factor in calculating your score. If you have challenges paying your bills on time then consider setting up automatic bill payments through your bank.
2.Do Not Close Accounts
The second strongest factor in your credit score is having long credit histories with the same lending institutions. Bouncing around to promotional cards and lending rates is brutal for your FICO score. The longer the history, the better the credit rating.
3.Do Not Open New Accounts
While there are many great promotional rates out there, avoid them like the plague. Even inquiring about a new card can affect your credit ratings. Just stick with the credit cards you have and avoid setting up too many new sources of credit.
4.Keep your Balances Low
Through credit utilization, credit companies look to see how much of your credit you have used. The higher percentage of balance used will mean a lower credit score.
Your credit score affects your life in many ways, from the car your drive to Christmas present shopping. Do not be left behind by credit companies, because you may need them one day.
The easiest and best way to keep a good credit score is to regularly monitor it. This can be done easily, through automatic updates from credit score monitoring companies. A monthly report can be sent to you via email, regarding your current credit score. By monitoring your credit like this you can catch missed payments, identity theft or misuses.
If your budget is too tight to pay for the service, consider using my FICO promotional code.
Through using my FICO promotional code you can keep track of your credit, but at a reduced cost that suits your bank balance.
Robin Wilding checks her MyFico scores using a MyFico Promo Code
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