Everyone may have been created equal, but let’s face it: some have more privileges than others. This is because of the credit system that is established in our country today and it separates the haves from the have-nots, whether we like it or not. Having a perfect credit score of 850 is nearly impossible, but keeping it high enough to be comfortable is attainable. Just consider the following information and financial planning tips in this article. It’s no use feeling sorry for yourself if your score is low, and all you have to do is put some time and effort into it in order to watch it grow.
The way to start your credit-improving adventure is to get the facts. The three major credit bureaus that have the reports that determine your score are Experian, TransUnion, and Equifax. These companies offer a credit report along with your score for free, as long as it’s only once a year. Beyond that, you have to pay for it. If you don’t have a perfect credit score, don’t get discouraged. Take the time to obtain your reports and go over them slowly and carefully to make sure you understand everything on it. Sometimes the credit reports have incorrect information, such as accounts that are in fact paid off, and that will affect your score. It’s imperative to contact these companies to get it cleared up.
The average credit score is around 670. If yours is lower than that, you have some work to do. Otherwise you won’t be considered for loans or any lines of credit that aren’t accompanied with outrageous interest rates. In order to work toward a perfect credit score, catch up on delinquent accounts. If there is an overwhelming amount of accounts that need attention, the best thing to do is organize them, contact them, and work something out. Remember that it will take time, so go into it with patience.