| Building and Rebuilding your credit does not have to be | | | | credit that you can. Do not sign up for new credit |
| nearly as hard as it sounds. In order to maximize your | | | | cards at every sporting event or mall kiosk that you |
| credit scores and build or improve your current credit | | | | see so that you can get the free gift. Too many |
| you need to first understand how the credit scoring | | | | inquiries can have a negative impact on your credit |
| system works. | | | | score. |
| Here are some quick tips on improving your credit | | | | Try piggybacking credit off of a friend or family |
| score that you can do all on your own: | | | | member. This is a method of having a friend or family |
| This is the most obvious of all of the tips but you need | | | | member add you one (or more) of their credit cards |
| to start with making all of your payments on time. | | | | as an "AUTHORIZED USER," not as a co-borrower |
| Make sure you pay your co-pays for insurance bills at | | | | and you can instantly gain their credit history from that |
| the doctors office and/or hospital so that they do not | | | | credit card. Not all credit card companies will report this |
| eventually find themselves in the collections | | | | to your credit but many of them will. You must make |
| department and reporting as a blemish on your credit | | | | sure the individual has a good payment history and is |
| report. This is one of the most common types of | | | | not over-extended on that credit card themselves for |
| collections that report to consumers credit reports. | | | | you to receive maximum benefits from this. Also a |
| Never borrow over 50% of the maximum credit limit | | | | credit card with a long history will be much better for |
| on your credit cards. It is even better if you can keep | | | | you to be added to. |
| the balances under 30% of your maximum credit limits. | | | | If you are new to credit the easiest credit cards to |
| Maxing out your credit cards, or even worse, going | | | | obtain are usually department store credit cards, such |
| over your credit limit can have almost as negative | | | | as JCPenny, Sears, Kohl's, etc... Also, Capital One and |
| affect on your credit report as late payments. | | | | Household Bank are very easy to obtain credit cards |
| Maintain a good balance of credit. For example 1 auto | | | | through as well. |
| loan, 2 credit cards and 1 mortgage loan would be a | | | | Therefore, just because you have credit cards does |
| good balance of credit. If you were to have 10 credit | | | | not mean you need to use them. Use them very |
| cards only and no other credit, this would not be a | | | | sparingly and preferably only once in awhile to |
| good balance/mixture of credit usage. | | | | demonstrate a responsible payment history. Follow the |
| Limit the number of total inquiries you have against you. | | | | tips above and the tips on the link above in order to |
| This simply means do not apply for every type of | | | | improve or build your credit. |