Connect with us

News

10 Clever Ways To Improve Your Credit Score Fast

Published

on

Your credit score is a critical piece of your financial life.

If you want a good rewards credit card, you’ll need a good credit score. If you want to get a low mortgage interest rate, you’ll need a good credit score.

There are also other non-obvious places where a good credit score can help – like when you want to get a new cell phone or when you’re getting car insurance.

Building credit can be a long process where good behavior helps increase your score gradually. Achieving good credit can take years but there are a few steps you can take to give your score a boost.

These won’t work for everyone because many solve specific problems (that you may not have – which often what credit repair companies target) but review the list to see if you can take advantage of any of these ideas.

1. Reduce Your Credit Utilization Ratio

Several factors determine your credit score. Your credit utilization ratio is one of the most influential metrics because it makes up 30% of your score. Credit utilization is simply how much credit you are using divided by the total amount of credit you have access to.

If you charged $10,000 to your credit cards and your total credit limit is $50,000, your utilization is 20%. Credit bureaus use your statement balance in this calculation, so you have utilization even if you pay off your balances in full each month.

A general rule of thumb is to use up to a maximum of 30% of your credit card limit. Many experts suggest keeping it below 10%, if possible. Most credit cards report your credit utilization once a month to the credit bureaus. In many cases, your most recent statement balance is the number that goes onto your credit report.

Here are three ways to keep your credit card utilization ratio below 30%:

  • Only charge essential purchases like gas and groceries—or those that earn bonus points
  • Split your purchases between multiple credit cards
  • For large one-time purchases, make extra payments during the billing cycle

Continue paying cash for purchases that cause your balance the exceed the 30% threshold if you won’t be making an extra payment each month. If you’re going to make additional payments, schedule them to post before the billing cycle ends so the balance shown on your statement is lower.

2. Request Credit Limit Increases

Periodically, request an increase to your credit limit. Each credit card company will have a different process but it’s typically very easy and very quick. Most credit cards will let you do this online.

By increasing your credit limit, you lower your utilization.

Two things to keep in mind when doing this. First, don’t request an increase on a new card. Many companies will not increase your limit if it’s new.

Next, when you request an increase, you want to make sure you do it in a way that doesn’t require a hard inquiry on your credit report. If you request a relatively small increase, the company will usually approve it automatically.

If you ever request an increase and the company wants to ask for more information, decline the request. You don’t need the increase and so it doesn’t make sense to take the credit score decrease from a hard inquiry.

You can usually request an increase every six months.

3. Fix Credit Report Errors

Sometimes, banks make reporting errors that hurt your credit score. Even if you haven’t missed a payment, many consumers overlook the benefits of a periodic credit report review.

Reviewing your credit report is free and only takes a few minutes. You can request free credit reports from Equifax
EFX
, Experian and TransUnion
TRU
weekly through April 2021.

If you find an error, you will need to file a dispute with the credit bureau. No error is too small to dispute. I’ve disputed incorrect phone numbers, which are correctly in minutes, which led me to discover unauthorized accounts (a cell phone).

If the error affected your score, you should see a pretty quick change once the credit bureau corrects the error.

4. Be an Authorized User on a Credit Card

Having a family member with a higher credit score than yours can add you to their credit card as an authorized user. Doing so can positively affect your credit score when the card has a long account history, on-time payments and a low credit utilization ratio.

5. Periodically Use “Dormant” Credit Cards

As your credit history grows, you likely qualify for credit cards with better rewards and interest rates. Instead of closing your first credit card, make occasional purchases to keep it active.

When you keep the card active, banks are less likely to reduce your credit limit or close the card. The credit bureaus look at each revolving credit account’s credit utilization ratio as well as your overall credit utilization ratio.

A credit line decrease impacts your total credit utilization ratio.

Closing an old credit card account can also hurt your score. If your old card charges an annual fee, see if you can downgrade it to one without an annual fee. You maintain your account history and that continues to strengthen your credit.

6. Pay Off Cards with the Highest Balances First

In addition to limiting your future spending, work on paying off your credit cards. If you have several cards with a balance, focus on the highest card balance to reduce your credit utilization ratio.

Paying down your outstanding debt can also improve your debt-to-income ratio, which is not a factor in your credits core but is used by many lenders.

7. Make On-Time Payments

If you miss your payment due dates, stop.

Your payment history is the most influential credit score factor with a 35% weighting. Even if you can only make the minimum payment, your account remains in good standing—and you avoid late fees.

8. Have a Variety of Credit Accounts

While you should only borrow money when necessary, having a variety of credit accounts can demonstrate you can manage credit responsibly. You might have one credit card, a home mortgage and a car loan. Each type of account can benefit your credit score differently.

Loans that you repay in full can remain on your credit report for up to ten years. You can have an easier time qualifying for a similar loan in addition to having a higher credit score.

9. Sign Up for a Credit Boost Service

Having a credit card and installment loans are not the only ways to increase your score. Credit boost services like Experian Boost report your monthly bill payments like utilities or your cell phone plan to the credit bureaus. You can receive credit by linking your bank account.

10. Get a Credit Builder Loan

Credit builder loans can offer a small credit score boost as you lend money to yourself. You make monthly payments into an interest-bearing certificate of deposit (CD) for up to 24 months. The bank reports your monthly payment to the three credit bureaus. When the loan term ends, you receive the CD balance minus administrative fees.

These are just a few of the ways you can quickly increase your credit score – try one today and let me know how it turns out the next time you check your credit score.

Source link

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

Credit Intelligence (ASX:CI1) plans $6M raise for global expansion

Published

on


Market Herald logo

Subscribe

Be the first with the news that moves the market

  • Credit Intelligence (CI1) has received firm commitments from Clee Capital to raise $6 million in proceeds
  • Through the capital raise, the company will issue 150 million shares to sophisticated and institutional investors at four cents each
  • Credit Intelligence also intends to issue one free attaching option for every two new shares issued during the raise
  • Capital raise proceeds will fund the expansion of the company’s various businesses into global markets, including the U.S. and U.K.
  • Credit Intelligence is down 4.08 per cent and trading at 4.7 cents per share

Credit Intelligence (CI1) has received firm commitments from Clee Capital to raise $6 million in proceeds.

Through the capital raise, the company will issue 150 million shares to sophisticated and institutional investors at four cents each. 

Credit Intelligence has also proposed issuing one free attaching option for every two new shares issued during the raise. The free attaching options will have an exercise price of ten cents per share and will expire two years from the date of issue.

Credit Intelligence’s Executive Chairman, Jimmie Wong, commented that financial support produced during this capital raise will fund the company’s global expansion plans.

“During strong economic times, our lending business and YOZO business will perform well. In the event of economic downturn or recession, CI1 is uniquely placed to also thrive during these unfortunate times from our debt restructuring and credit repair businesses,” he said.

“These core CI1 businesses have long track records of success for many years in their current markets. CI1 is now embarking on exciting expansion plans for new and existing businesses in global markets,” he added.

Specifically, these plans involve the expansion of Credit Intelligence’s main business and YOZO buy-now-pay-later (BNPL) offering in their current markets of Australia and Asia. The company will also expand its Singapore lending business.

Primarily, proceeds from the capital raise will fund the expansion of Credit Intelligence’s debt restructuring business and YOZO BNPL into new global markets, such as the U.S. and U.K. 

Credit Intelligence will also the proceeds to fund the additional development of its YOZO technology, which will provide further support to the company’s expansion efforts. Some funds may also go towards existing business operations and costs related to the offer.

Credit Intelligence is down 4.08 per cent, trading at 4.7 cents per share at 10:32 am AEDT.


Source link

Continue Reading

News

8 figure Serial Entrepreneur Shawn Sharma Built an Empire Leveraging Credit

Published

on

*Brand Partner Content*

Seven-figure entrepreneur, Shawn Sharma, teaches clients how to shop and travel smart to maximize returns on their credit cards

Since the dawn of credit and debit cards, shopping has never been easier. Think of how many times you have carelessly swiped your credit card to buy groceries, airline tickets, or even furniture, only to pay hundreds in interest later. Shawn Sharma has made a career showing thousands of clients how to turn their daily spending habits into substantial profits. Explaining easy ways to raise credit scores quickly and how to maximize credit card perks, Sharma has amassed over a million Instagram followers. The best news is, he started out with nothing when he was in college, meaning just about anyone can do the same.

The general principles of credit card hacking and travel hacking, both completely legal, are that you maximize bonuses, special deals, cash-back offers, and rewards just by using the cards the correct way. One trick is to pay off credit card bills each month before the statement is closed, resulting in sparing your interest fees, all the while maintaining your rewards, cash-back, and miles. Sharma shows his many clients how to amass wealth by improving their credit scores, accessing credit lines for funding their businesses, and offers tips to look at daily habits as potential earning opportunities.

Sharma grew up in poverty, not because of laziness or motivation, but because of unfair and unfortunate circumstances dished onto his immigrant parents. His father was a doctor, his mother a college professor, but neither could translate their experience and education in India to comparable US jobs. Between ailing health and the demands of feeding a young family, his parents could not achieve the American dream. Through witnessing their struggle, Sharma was inspired to reach for their dreams through his own education and business success. Hard work in high school earned him a full ride to an elite Math and Science boarding school. Shawn continued to Cornell University, where he was at the top of his class. Sharma refused to quit on his goals, even when life doubled down on the bad luck. His father passed away during Sharma’s final year at Cornell. Rather than giving up his dreams, he entered into the profitable world of credit card arbitrage, with impressive results.

Sharma discovered the secrets to wealth when he began maximizing credit card rewards and airline miles. What began as a means of saving his parents money on airline tickets back and forth from college became a side gig that generated $3,000 daily. “I was smart with this money and invested six figures into a 30-property Airbnb portfolio that I started from scratch with three other partners,” Sharma says. Although that business struggled due to partner disloyalty, it was still a valuable learning experience. Creating Credit 101, a company that helps clients fix their credit and build wealth without the common obstacle of start-up money, has grown into a leading credit repair company. “My vision with the company is to teach people that in the world of credit, we are all on the same playing field,” Sharma stresses that in personal wealth, at least in the area of credit card arbitrage, things like background, color, or station in life are irrelevant. Everyone is created equal in the realm of credit, and everyone can make money by following Sharma’s sound advice.

In less than two years, Sharma was able to build an Instagram following of over one million. Considering he did not utilize paid-for advertising, that is something to boast over, not that that is Sharma’s style. Instagram is the perfect platform for attracting new clients and distributing easy-to-follow daily tips, providing motivation, and networking with other entrepreneurs. One way Sharma stays at the top of his game is to allow plenty of funds for further education. Having spent hundreds of thousands of dollars on coaching, seminars, and courses, Sharma understands that becoming your healthiest mentally, personally, and in business is when you provide the greatest value to others.

These days, Sharma stays busy with dozens of businesses and has plenty of irons personally and professionally in the fire. He is active in several charities, takes care of his disabled mother, and works tirelessly on his future goals. One of his biggest goals is to get his medical degree and make a significant innovation in the medical technology space. “Seeing my parents struggle with chronic disease for years, I am driven to lessen that load on others,” he says. Most of Sharma’s clients report significant increases in their credit scores in only a few months, opening doors of opportunity they never knew existed.

To follow Shawn Sharma and learn more about how you can fix your credit score and maximize your personal wealth, check him out on his website and Instagram.

 

 

 

 

 



Source link

Continue Reading

News

Housing grant from TD bank aimed to help families displaced by pandemic

Published

on

GREENVILLE, S.C. (WSPA) – A quarter-million dollars is on the way to help give families across the Greenville area the assistance they need to get back on their feet.

On Thursday, the Greenville Housing Fund received a $250-thousand dollar grant from TD Bank, which will go towards the “Home Again Partnership” — a joint venture between the Greenville Housing Fund and United Housing Connections. 

Both organizations work to put displaced families back in stable housing. 

“It’s impacting livelihoods, jobs, income, health,” President and CEO of the Greenville Housing Fund, Bryan Brown said. “It’s having significant and serious impacts on our community and this is a symptom of that.”

Brown said prior to the pandemic, they were aware of two hotel/motel communities where families were living, now there’s ten.

“That’s the impact that COVID has had on this community,” Brown said. “This growing insecurity, housing instability has led to families living in ten hotel motels in our community. “

The “Home Again Partnership” works to identify families with school aged children living in hotels to provide them with resources like housing and financial assistance, all aimed promoting self sufficiency.

“When you have families in hotels, you have a child doing homework off the edge of a bed and then eating off a hot plate, that’s not a family environment,” said CEO of United Housing Connections, Lorain Crowl.

Crowl said the first step is connecting students with a McKinney-Vento liaison.

“Which is a liaison that works in all Greenville County schools,” Crowl said. “Every school has one that is tasked with engaging homeless and families who are experiencing homelessness with children.”

And then the work begins.

“We start with the very basics,” Crowl said. “‘Where are you now?’ And then we carry you through with rent stabilization. That means we may come alongside you with some grant money.”

Or other resources like case management, credit repair, etc.

“We carry folks through a program, through a two-year program to help them develop a savings account, tools to be on their own and eventually they’re in their own housing,” said Crowl.

Both organizations say they have resources readily available.

“There are all kinds of programs and networks that we can really plug families into and then help them along to get to know those folks and be sure that they’re served,” said Crowl.

If you’re a Greenville family in need of assistance, Crowl said to contact your school counselor. Every school counselor in Greenville County is connected to a liaison who can connect you to the partnership.

Crowl said since the pandemic began, the partnership has served 375 households, with $2.1 million dollars put into the community from all resources to help families remain stabily housed.

Source link

Continue Reading

Trending