The Super Secrets of Credit

The Super Secrets of Credit

The Super Secrets of CreditCredit Rating: – How You are Scored. 

Getting approval for any type of loan depends on your credit rating. If you have an average credit rating, you will find it almost impossible to get approved. It’s possible to get a good rating or even improve your credit rating.

Most companies use almost the same rating system and if you are able to know more about it you should be able to have a better credit score.

Your age is the first factor which it’s almost impossible to do anything about. Yes, it’s possible to lie, but don’t because it will make things more difficult for you in future if the creditor gets to know. If you are between 24 to 64 years of age you will get one point. Any age below or above will score you zero points.

If you are married you have a chance of adding extra points to your score. If not, you still score zero as most creditors see you as a higher risk.

Also, if you have no dependent, you will score zero. But if you have between one to three you will add to your points. Here is how it works – if you have no dependent creditors believe you can skip town and not pay off your credit.

Creditors will also want to know more about your roots. They will want to know where you live. Owning a home with a big fat mortgage or even without a mortgage will give you more points.

How long you stay in your present or previous residence also adds more points to your score. If you’ve moved so often you will score zero points.

However, if you’ve stayed up to 5 years before moving, you will surely get more points. It shows you are a good risk to them.

Other factors that will add to your point are your years on the job (the longer the better), kind of job, your monthly income, present debt status, previous credit history and your savings or checking account.

Your credit score is usually between 350 and 850. The lower your score the more difficult it will be to get a loan. Scoring 800 or above should be the goal of every consumer. Below is list of
short tips on how to achieve 800 credit score or above.

Limit the number of credit cards you sign up for at a time. The more cards you carry the debt will have to live with. If one card is not enough for you make sure you don’t sign up for more than three cards. Also make sure that you don’t go out with more than one card in your pocket. That way you will limit your purchases when you are outside.

Make sure that you make your payment on time, if possible before the end of the grace period if it’s part of the service. Late payment will affect your credit score adversely. Whenever you want to apply for credit make sure that you don’t apply for too much credit often.

A credit reporting agency may score you low as it means that you can’t live without credit.

Another thing that the reporting agency considers in scoring you is outstanding balance on your credit account. If you are the type of consumer that often exceeds their limit you are risking your credit score.

So, make sure you don’t exceed 30-35% of your available credit. It doesn’t make sense financially to always spend all your credit at one time.

Regards, Coyalita

Behavioral Health Rehabilitative Specialist & Addiction Counselor

Copyright © 2021-2023 Thresholdlivecoyalita.com All Rights Reserved

Privacy PolicyEarnings DisclaimerTerms of UseContact Us

Share on Social Media