| Your credit score ratings can influence everything | | | | in college but you're not doing anything with it now |
| from whether you get a mortgage to whether you get | | | | because you have cards with better rates or rewards, |
| a job. In fact, more and more businesses are using this | | | | keep the old college card open. It will show that you |
| number to determine how good a prospect you are. | | | | have had and have managed credit for a very long |
| From insurance companies to cell phone companies, | | | | time. Shutting down old cards also lowers the total |
| these numbers are increasingly coming into play. Here | | | | amount of credit that you have available which, in turn, |
| are five ways to increase your credit score ratings. | | | | lowers the credit utilization ratio. |
| First of all, you should pay all of your bills on time every | | | | If you are in trouble with your finances, my next tip is |
| month. This may mean making a budget and sticking | | | | for you. You shouldn't be afraid to go into credit |
| to it. Your debt payment history is the biggest portion | | | | counseling if you are in over your head. A non profit |
| of your credit score ratings. It makes up 35 percent of | | | | agency can negotiate with your debtors and set up a |
| the formula. If you have a good credit score and you | | | | debt repayment plan that is actually feasible for you. |
| miss even one payment, it can knock your score | | | | While working with a credit counseling service used to |
| down by 50 or even 100 points. If you have trouble | | | | affect your credit score, 3 years ago, Fair Isaac |
| paying your bills on time, consider putting your bills on | | | | discontinued penalizing consumers for using these |
| automatic payment. Then, after all of the bills are paid, | | | | services. |
| you know how much you have left for your 'play' | | | | Finally, if you are trying to increase your credit score |
| money. | | | | ratings, do everything you can to stay out of |
| Next, pay down your debts. Unless you use your | | | | bankruptcy court. One commentator called bankruptcy |
| credit card solely as a convenience and pay it off in | | | | the 'nuclear bomb' for your credit score. Bankruptcies |
| full each month, try to find ways to use your credit | | | | stay on your credit record for 10 years. (Every other |
| card less. Part of the formula that determines your | | | | type of bad credit mark falls off after 7 years.) Almost |
| credit score ratings includes what is known as the | | | | always, people who file for bankruptcy end up with |
| 'credit utilization ratio. If you have less than 50 percent | | | | credit scores below 620. That means that they only |
| of your available revolving credit used, you are doing | | | | credit they can get is from predatory lenders who |
| good. Anything more than that and it could be hurting | | | | know that the people can't bankrupt again for another |
| your credit. So, decide that you are going to pay cash | | | | 7 years. They squeeze out high interest rates from |
| for more items and put a bigger portion of your budget | | | | these people. |
| to paying down existing debt. | | | | So, if you are concerned about your credit, follow |
| Next, you should avoid the mistake of closing old credit | | | | these 5 tips and you will soon have better credit score |
| accounts. Part of the credit score ratings is how long | | | | ratings. |
| you've had credit. If you opened a credit card account | | | | |