How Can Credit Card Stop You From a Job
This New Year, as every year, millions of people have spent in December by charging their credit cards in respond to indulgences of Christmas tradition. It may make sense at the time to enjoy things during the Christian festival and celebrate the renewal of life, but in January is a shock time to see the credit card statements. As an increasing number of people are finding out, when dealing with credit cards because of their convenient and safe to use unlike cash. In many ways credit cards in today’s economy are must to have, especially if you are buying online. Even the most careful consumers can quickly find themselves in trouble, due to no fault of their own. If you count yourself among this growing majority, there are several options you can use to get back on track. Of course, just paying your bills on time will help enormously, and not just your loan payments. All your bills can be reported to the credit bureaus if you don’t pay on time. If your circumstances have changed and you just don’t have enough money for all your bills, you need to find a way to make more money or cutting back on the number of expenses.
Having a poor credit scores affects so much more than just whether or not you’ll be able to get a loan it can increase your car insurance premiums and even prevent you from getting a new job or even renting a new place to live in. It’s time to get proactive about your score and do everything you can to raise it if it is already low. The lowest possible credit score is 300 and a perfect score is 850, but 690 is the current average American credit score.
If Friends and family advice you to cut up your credit cards, maybe they see you just don’t have the discipline to use them or perhaps this a better option for you. However, you want your financial situation to be under control and that’s as important, or even more important, as distressing about your credit score. If you close a credit card it can hurt your score since you will not have the available credit, but, that is a small price to pay if you simply aren’t able to resist the temptation to use the card. The sad part is that your credit score could be headed downward, unless you take the necessary steps to protect and improve it.
Another thing you have to get in the habit of doing is at the beginning of each year to check your credit reports from all of the three major credit bureaus for free at no cost to you. The reports you receive may not be the same on each one. If you find a mistake contact that bureau instantly in writing with any documentation you may have to back up your claim that a mistake has been made. The credit bureau has to make the corrections to your credit report within 30 days but normally takes longer up to 45 days which can result in an immediate lift in your credit score. Don’t wait until a few months before you want to apply for that new car loan or a new place to rent or applying a new job. With a strong credit score, you will not only have a much easier time of being approved with the bank, also will have much lower interest rates, and better opportunity from prospective employer for a job or renting a place from the landlord.