The significance of building a favorable credit record has always been highlighted by credit help specialists. As the interest rate continues to increase, building a good credit rating is definitely an important step today. Aside from the opportunity to obtain quick approval, an outstanding credit history can win you the lowest possible rates and flexible repayment terms from loan companies and insurance providers.
For people looking for work, good credit can spell the difference between getting employed or not. Although a hiring officer cannot turn down an applicant based on his/her credit rating alone, it can be a significant factor that will give you the advantage over other applicants competing for the same position.
For this reason students in college are urged to start building credit history by obtaining their student credit cards. Once you have your first credit card, what are the steps you can do to make sure that you will build good credit? Take a look at the following suggestions:
Check your credit report. It is not unusual for credit reports to contain errors. There are instances when someone else’s credit details may get mixed up in your report and inflict damage to your score. Identity Theft is also a common cause for having bad credit.
Consumers are eligible for a free credit report each year from the AnnualCreditReport.com. It is important to check out your credit report at least twice a year to make sure that it contains accurate record.
Understand how credit scoring works. Knowing how your credit score is determined can help you become more mindful on maintaining your credit report. You must remember that payment history or timeliness of payment makes up 35% of your total rating. Therefore, even occasional late payments can hurt your rating.
Read Full Article: Building Good Credit With your First Credit Card
