5 ways to Manage your Credit Report
We all can run into a problem once in a while, but use these 5 tips to stay ahead of the game.
Check your credit.
When you are ready to purchase an item or apply for credit, check your credit report. If you are able to check your report, you can make sure the information on it is correct or when changes have occurred. Your credit report is based on your credit history, so if there is a change to make, it may not happen immediately. It can take up to 90 days for the correction to show on your report. Contact a Credit Reporting Agency for a copy of your credit report.
Immediately fix errors.
Be quick about any errors you may find with your credit accounts or your credit report. Contact your credit lender or agency to correct the information that is missing or inaccurate.
Not too many credit cards.
It looks better on your credit report if you have only 1-3 credit cards and the same credit card for a long period of time. It lets the lenders know that you are responsible and can manage your credit. Each time you apply for a new card, there is an inquiry made to your report. If you don’t end up being eligible for that credit card, you can lose points to your credit for their inquiry. You may also lose points on your report if you apply for multiple credit cards during a short period of time. Apply for a new credit card on a need only basis.
Balance your accounts.
Try to maintain the balance on your credit accounts to a low amount. High account balances can lower your credit score and become negative to your report. Lenders see a high account balance as an possibility that you will miss a payment or be late on a payment.
Pay on time.
Try as best as you can to make each debt payment on time. Stay with the schedule of payments and make it a good habit to stay on top of it. As mortgage payments tend to be the most amount of debt, pay it first. If you do miss a payment with your credit card, pay it as soon as you can or contact your lender for assistance. That will show you are willing to pay, but need some help. If your credit account is more than 30 days late, it will show up on your credit report. When payments are made on time, the better it is for your credit score.
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