Understanding Credit

Tips for a Healthy Credit Score

What can hurt your score?

• Missing payments, regardless of the amount, will take 24 months to restore credit.
• Credit cards at capacity/maxing out credit cards
• Closing credit cards out, this lowers available capacity
• Excessively shopping for credit
• Opening up numerous trades in a short time period
• Having more revolving loans in relation to installment loans
• Borrowing from finance companies

Practices to improve your score:

• Continue to make payments on time, older late pays become less significant with time.
• Do not close credit cards because capacity will decrease
• Slow down on opening new accounts
• Acquire a solid credit history with years of experience
• Moving revolving debt to installment debt