Welcome to professrsavings.com, we teach finance basics.
Today we will teach you easy ways to improve your credit score in about two minutes.
A good credit score is essential. One reason is because you can get a loan to take advantage of great investment opportunities or sometimes you may need a loan for a family emergency.
Lenders determine the interest rate you receive on mortgages, credit cards and personal loans by using your credit score.
We did a video on 3 Important Factors that Affect Your Credit Score. We advise you check that out.
Using these tips may help you raise your score.
One. Reduce the amount of debt you owe. Pay off any any amount you can in your loans.
Reducing the amount you owe may raise your credit score several points.
Two, limit the number of credit cards you open. Opening several credit card accounts in a short period of time may lower your score. Also. Having just a few credit cards help you manage them more easily. A great habit to have is to check your online credit card spending daily.
Three. don’t go over your credit limit. Going over your limit or keeping high balances can drastically lower your score.
Four. Make your payment on time. Set up an online account and make your payments electronically so that you can quickly manage your money.
In summary, know what you NEED and know what you WANT.
Warning, be careful about companies that offer to repair your credit. Some of these companies charge large fees and actually can’t promise anything.
The best advice is to fix your credit issues yourself with careful spending.
At Professor Savings, the golden rule we teach is that if you don’t can’t pay for three of it in cash, you can’t afford it. So for instance, if you’re looking to buy a camera for $300 make sure you have $900 cash in the bank as a cushion.