Credit Repair and Positive CreditIf you have never had to use credit before, BRAVO! Of course, it’s best to pay cash for the things you need so that you don’t have to worry about credit card payments, loan payments or interest rates.
But the chance of you needing credit in the future is very real. Someday you might want to buy a house. Perhaps you’ll want to buy a new car.
Chances are pretty good that you won’t have the cash outright to buy these high ticket items, which mean you’ll need credit.
Whether building new positive credit in credit repair or maintaining positive credit, below are several tips:
- Apply for or maintain at least one credit card. Credit cards bare a huge impact when calculating credit scores, actually 30% of your credit score is based off of your balance to credit limit. When applying for a credit card make sure it reports to all three of the credit bureaus.
- Do not apply for too much credit in a short amount of time. Multiple requests for your credit history (not including requests by you to check your file) will reduce your scores.
- Don’t open too much credit. To have a healthy mix of credit, which accounts for 10% of your score, credit bureaus like to see a maximum of two revolving accounts for every one installment loan. Keep in mind two revolving accounts per every installment are a maximum mix the bureaus like to see. We recommend having one credit card per family.
- Installment Loan- is a loan that is repaid over time with a set number of scheduled payments. The term of loan may be as little as a few months and as long as 30 years. A mortgage, for example, is a type of installment loan.
- Revolving Account- is an account created by a lender to represent debts where the outstanding balance does not have to be paid in full every month by the borrower to the lender. The borrower may be required to make a minimum payment, based on the balance amount. The most common example of a revolving account is a credit card.
- Don’t ever charge over 30% of your credit limit. For example if your credit card has a limit of $1000, you never want to charge over $300. Since 30% of your credit scores are based on amounts owed to credit available, charging too much on your credit card can quickly drop your credit scores.
- MAKE YOUR PAYMENTS ON TIME!!!!!! Of course, the last one is the most important in building or maintaining credit. 35% of your credit scores are based upon your monthly payment history. Your scores can drop 10 to 60 plus points from one single late payment.
So, what if you have had credit already, but you made some mistakes over the years finding yourself with bad credit? Is all hope lost? The good news is – NO!
Credit Repair is possibly the route for you.
If you find that you are in that particular situation, I want to encourage you to contact us for instant access to answers. You can call us at 616-530-4883 visit us on the web at www.creditgs.com or email us at email@example.com.
We have many tools and options available for you to utilize that are not dependent on your current credit situation as a means to approve you for credit.
Credit repair may be the option for you. Credit repair works. Credit repair helps. Credit Repair can be done properly.