Paying Bills on Time
As you may know, credit is one of the biggest problems a person can have. Even most of the world’s countries are in debt. This little devil just gives everyone a headache, but you wouldn’t have any problem to begin with if your credit score was in good shape. Don’t wallow in the doldrums if your score isn’t exactly commendable, you can always do something to improve it. But before getting down to detail, you should first know what credit score is.
Credit score is a numerical expression that shows the creditworthiness of a consumer. Lenders depend on this number to decide whether to approve you for a loan or not. If your credit score is high, you can attain credit from possibly anywhere you want to, depending on your source of income and the like.
Your score drops as you apply for a credit. When you are having a hard time getting approved for loans you are applying for, it basically means you have a poor credit score. To be able to boost it back up, you will have to be on time with your payments. And pay off everything in full amounts.
The majority of people miss a payment here and there, and even just one late payment can hurt your credit score. But there’s always a solution to every problem, first, know what your credit score is. You can get it online from the credit bureaus annually, free.
A surefire way to boost it is by paying your debts on time, there are other things as well. But this should be always on top of your list. When your credit score is improved, you can then start using credit again.
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Categories: Credit Score Articles Tags: bill payment, Bills, bills and credit score, first, payment, time
What Is A Secured Credit Card?
There is a reason why it is called a secured credit card in the first place. It is the best way to deal with your expenses and at the same time enhance your credit history. In addition to that, with the modern society taking its toll nowadays, you can surely make use of that credit card whenever and wherever.
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Repairing Your Credit Score The Right Way
Soon after you find out about all the negative information from your credit report, take measures to remove it especially when the negative information is not really yours. You can do this when the duration for a delinquency or bankruptcy has expired.
These are cases in which even after you have negotiated with your creditor and after having an agreement of settling everything with a fee with the understanding that either “Paid” or “Paid as agreed” will be entered on your report, your report shows that you are still in debt.
When this happen, you must take immediate action to remedy this problem with your credit score. First thing you can do above all things is to send a dispute letter to the credit bureaus and request that they delete such erroneous entry from your report.
You may send this letter with the use of fax, certified mail or standard first class mail.The standard first class mail is your best bet, considering you will be getting a mailing certificate guaranteeing that they have received your letter. You must have a copy of each document you send as a proof.
Next appropriate thing to do is to apply for a credit card, a departmental store or gasoline card, and then use it with caution. The deposit you pay to the credit card issuer will equal your spending limit. Given that the main reason behind getting a credit card is to repair your credit score, see to it that you don’t spend beyond 30 percent of your limit.
The reason is so obvious. The less you spend, the higher the increase on your score. The more frequent you go beyond 30 percent limit, the lower your score plummets. It’s suggested that you remain within such boundary so as to boost your credit score safely.
Categories: Credit Score Articles Tags: credit card, credit score repair, first, fixing credit score, limit, send
Tips On Safely Fixing Your Credit Score
Take immediate action in getting rid of negative information from your credit report as soon as you possibly can, especially when you have found out that such negative information is not yours to begin with.
Additionally, do this in the event that for a delinquency or bankruptcy has expired.Also, act on it when after your have already disputed negative information, it can still be seen on your report. Furthermore, you must address it after negotiating with your creditor and made an agreement of settling at a fee with the understanding that either “Paid” or “Paid as agreed” will show on your report, but it is still being shown on your report that you are in debt.
In this kind of situation, you’re better off taking quick action on the damage done to your credit rating. The first thing you can do is to send a dispute letter to the credit bureaus and ask for the removal of such erroneous entry from your report.
The letters you have made could be sent through fax, certified mail or standard first class mail. The standard first class mail is an ideal choice, considering you can get a mailing certificate assuring that they have really received your letter. You should get a copy of all the documents you send for evidence.
Next thing you can do is to apply for a credit card, a departmental store or gasoline card, and then cautiously use it. The deposit you will be paying to the credit card issuer will equal your spending limit. Considering the real reason for getting a credit card is fixing your credit score, make certain that you don’t go beyond 30 percent of your credit limit.
It is actually a no-brainer. The less you will be spending, the higher the increase that will be seen on your credit score. The more you spend beyond 30 percent limit, the lower your score plummets. You’re better off keeping your spending within such boundary so as to boost your credit score safely.
Categories: Credit Score Articles Tags: credit card, credit score repair, first, limit, repairing credit score, seen
How to improve credit score with first credit card?
Question by RainDog: How to improve credit score with first credit card?
Hi there. I have just received my first credit card. I struggled to improve my credit enough to finally qualify for a card. I had to start with a bottom of the barrell card, however, as my score currently averages 600. This card has a high APR, high penalties and a yearly fee. I am looking for advice on how to use this card as a tool to improve my credit. I’ve received a lot of conflicting information.
Best answer:
Answer by CHES
I used to work for a credit card company..
Most people think that if you pay your credit card purchases in full, you’ll have a higher score.. but actually, credit card companies prefer to give higher scores to those who leave out a few amounts that would earn interest.
For example, your credit card bill is $ 50 and you pay that in full, it means that there’s no interest.. But if you only pay, say around $ 30.. the $ 20 that was left would incur interest, and card companies like that.
What do you think? Answer below!
Q&A: my first credit card tips?
Question by Sick MOFO: my first credit card tips?
What’s the best way to raise the so called “credit score”? Paying the minumum every month vs paying the balance off immediately? Does the amount you charge matter? And any other tips you may have. Thank you.
Best answer:
Answer by Jenyfer C
Keep a low balance that you make payments on, every month on time. Your credit score looks at timely payments, but also debt to credit ratio. Try to stay well below the limit. Most credit card companies review accounts once a year and may increase your limit.
Know better? Leave your own answer in the comments!
Categories: Credit Score Questions Tags: Card, Credit, first, Tips