Believe it or not, your credit score is one of the most important factors of your financial situation. It can impact whether or not you receive a loan, and it could play into how much you can spend on a regular basis. In any event, some events can actually damage your score, meaning that it will take time until it's rebuilt. In order to save yourself the headache, here are 4 talking points that you'd be wise to consider, courtesy of Bob Jain.
When it comes to low credit scores - and it's possible that companies the likes of Bob Jain Credit Suisse can say the same - late payments seem to be the biggest culprit. When you're late making payments on a repeated basis, it does not speak well about your dependable nature. As a result, your score will fall until you can build it back up. Suffice it to say, timely payments can help you avoid this particular issue that others have struggled with.
What about high credit card usage, you may wonder? After all, some cards have limits on them, which means that you have to work within them to keep a high score. However, those who have taken part in holiday shopping and the like can tell you that certain limits can be tested, or even broken. If you're looking to keep your score from decreasing, Bob Jain and other financial authorities will stress the importance of careful spending.
Applying for a new line of credit can hinder your score, too. Even though you might be tempted by a credit card offer from a store that you frequent, the positives do not always outweigh the potential negatives. This is especially true when you take interest rates into account, since you will have more of a payment to make on a regular basis. In order to keep your score from going down, be mindful of the credit lines you apply for.
What about your other financial responsibilities that have been left unchecked? You do not want to ignore the debts that you have - these include unpaid bank statements, parking tickets, and the like - since doing so can result in a reduction of your credit score. As a result, it'll be even tougher for you to apply for a loan or an even better card. Instead of ignoring these issues, as if they aren't present, figure out ways to correct them. You're not without solutions.
When it comes to low credit scores - and it's possible that companies the likes of Bob Jain Credit Suisse can say the same - late payments seem to be the biggest culprit. When you're late making payments on a repeated basis, it does not speak well about your dependable nature. As a result, your score will fall until you can build it back up. Suffice it to say, timely payments can help you avoid this particular issue that others have struggled with.
What about high credit card usage, you may wonder? After all, some cards have limits on them, which means that you have to work within them to keep a high score. However, those who have taken part in holiday shopping and the like can tell you that certain limits can be tested, or even broken. If you're looking to keep your score from decreasing, Bob Jain and other financial authorities will stress the importance of careful spending.
Applying for a new line of credit can hinder your score, too. Even though you might be tempted by a credit card offer from a store that you frequent, the positives do not always outweigh the potential negatives. This is especially true when you take interest rates into account, since you will have more of a payment to make on a regular basis. In order to keep your score from going down, be mindful of the credit lines you apply for.
What about your other financial responsibilities that have been left unchecked? You do not want to ignore the debts that you have - these include unpaid bank statements, parking tickets, and the like - since doing so can result in a reduction of your credit score. As a result, it'll be even tougher for you to apply for a loan or an even better card. Instead of ignoring these issues, as if they aren't present, figure out ways to correct them. You're not without solutions.
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