| As surprising as this may sound, the vast majority of | | | | think that it is a positive thing to have an open account |
| consumers don't know what their credit score is. That | | | | with a zero balance that has been paid in time and in |
| fact is almost as bad as not knowing what your blood | | | | full. But in reality, most lenders will deduct points for |
| pressure is, because by the same token, by the time | | | | that, since if the account is open, you have the |
| you discover that it is not where it should be, it is | | | | opportunity and choice to use it and potentially charge |
| frequently too late to avoid the detrimental or adverse | | | | it up to the hilt. If you don't want to close the account, |
| effects of a poor credit score, or high blood pressure. | | | | contact the creditor and ask them to lower your credit |
| Sometimes, credit scores go by the name of FICO | | | | limit. Keep in mind that lenders look at your financial |
| scores. Approximately ten percent of your FICO score | | | | picture today, as well as what you have the potential |
| pertains to a detailed analysis of the number and types | | | | to do if you went off the deep end. |
| of accounts you have. This is commonly known as a | | | | Understanding every detail of information on the credit |
| FICO score, which is a credit score developed by Fair | | | | report is an important step to improving or repairing |
| Isaac & Co (FICO). | | | | your credit score. Credit repair is the process of fixing |
| If your credit score, which is calculated to be a single | | | | the errors, mistakes and inaccuracies that appear on |
| number, typically between 350 and 800, is lower than | | | | our credit report from the credit bureau. And be aware |
| you would like it to be, there are steps you can take to | | | | that the MAJORITY of consumers have credit reports |
| improve your credit score. Another step that may help | | | | with errors on them, which do NOT get fixed unless |
| you improve your credit score is to consolidate all of | | | | the consumer takes the initiative to alert the credit |
| your high interest credit card debt into one low interest | | | | bureau of the error. |
| loan. Now that you know all of the things that are used | | | | If you are over-burdened with debt, note that declaring |
| to calculate your score, what can you do to improve it. | | | | bankruptcy is not a good way out. Bankruptcy remains |
| You see, one of the major factors that goes into | | | | on your credit report for 7 to 10 years, and is a huge |
| determining your credit score is the number of credit | | | | red flag to potential lenders. Before taking such a |
| cards you have, your outstanding balance on them | | | | drastic step, you should investigate alternatives and |
| compared with your credit limit, and of course your | | | | options, and you are recommended to visit Bankruptcy |
| on-time payment history with each of those creditors. | | | | Advice and Information. |
| Now there is no hard and fast rule as to what potential | | | | Upon getting a copy of your credit report, did your jaw |
| lenders want to see, because to a certain extent, they | | | | hit the floor because there are so many accounts |
| all have individual or unique requirements. Some like to | | | | there that don't even belong to you? You may be a |
| see low balances compared to high credit limits even | | | | victim of identity theft, a fast-growing devious crime. |
| on a lot of credit cards, while others would prefer to | | | | You can find out more information about identity theft |
| see fewer credit card accounts with higher balances. | | | | and what victims can do about it at Identity Theft |
| Interestingly enough, most creditors will rate these two | | | | Advice and Information. |
| scenarios differently, even if the sum total amount of | | | | You are encouraged to keep a close watch on your |
| debt on those credit cards is exactly the same. | | | | credit score and take steps to improve it as quickly as |
| Improving your credit score is a multi-step process but | | | | possible. At the point where you get turned down for |
| there are many things you can do, and since getting | | | | that new car loan or mortgage is too late to start |
| your score adjusted takes time, it is something you | | | | working on this. It is a process, it takes time, and should |
| should start today. One of the things you should do is | | | | be a major component of your weekly routine. |
| close accounts you don't use anymore. Some people | | | | |