Seven Student Blunders That Will Ruin Your Credit Ratings

If you are trying to get out of a bad financial situation, then you don’t need to be worried anymore. No matter what kind of problem you have, there is a solution waiting for you out there. You just need to know about it. There are so many people who did everything right and planned ahead of time and they still got hit badly by the economic crash. People lost their homes to foreclosure and credit companies began harassing their debtors for missed payments. Everything turned worse because people were unable to even keep a roof over their heads, let alone pay off their loans. And since then they have been using alternative methods of debt management like credit card debt settlement, debt consolidation and what not to help them get out of that downward spiral.

Low tech way: carry your oldest credit card in your wallet and be sure to use it once a month to buy either gas or groceries. This purchase will keep your card active and counting positively in your get credit report. Pay it off at the end of the month so you are not hit with any finance charges.

The US government requires the major credit bureaus to provide a copy of your credit history for free once a year. That is why you will often hear people talk about the free annual credit report.

Moving/traveling: If we move around a lot, the danger can be ending up with defaults on our credit rating due to unpaid accounts we were not aware of. Typically an account gets sent to our previous address and remains unpaid and then listed as such on our Karma build file. We should consider a P.O. Box for all our mail or alternatively a parent’s address.

You can use your secured card to repair your credit score. The secret is to keep your credit card spending low, and keep making high payments. A low balance on your card looks good on your credit. If you do not use your card though, then that does nothing for you. You should budget a certain amount that you will spend on your card each month. Then pay off the balance as quick as you can. If you can’t pay it off, then keep your balance low and make your payments when they are due.

Work on a better credit score. Sounds too impossible? It might be impossible to get it done tomorrow but if you look at the long run and plan it out knowing that it might take a few years, then you’ll eventually get there. And once your there and you can show how you paid all that bad debt off, that shall surely turn in to more extra points by most lenders because they can see that you take your financial status seriously. Keep in mind this might take years.

With good credit, it is easier for one to apply for credit or a loan and to have lower interest rates. It is easier to get a job, a home and a car. You can also have the chance to apply for loans that do not require too much documentation of your income and assets. Therefore, it is truly advantageous to get credit repair help and have a good credit rating. Not everyone has a good credit record. However, repairing bad credit is actually far more necessary than you thought. Here’s why you need credit repair help and how to get it.