One costly mistake people make is that they think credit repair is all about removing of a negative account.
It only takes you halfway.
In cleaning up, you need to open a new account; else all your effort will be useless.
A lot of people don't bother repairing their credit because they feel after some time; all negativity will be removed from their record.
This is true but unfortunately, FICO scoring model will not tolerate this.
Most times, the process will result in the deletion of some trade line history.
This will help your record on the long run but if you have insufficient credit, the removal of any data can result in a lack of information for FICO scoring model.
And that gives you a low score.
Fair Isaac and Company created the FICO Scoring model used in calculating scores that lenders use in determining their risk in borrowing you money.
Fair Isaac did not make the details of how the calculation is done public but it does make sense.
By paying close attention, you will see how your activities are interpreted into number.
Fair Isaac is an unbiased observer of your financial activities, calculating risks of default.
Fair Isaac looks at both your past and present credit history.
Fortunately, a new activity is considered before an old one.
So, everyday is an avenue for you to prove that you can manage your credit.
Secure card is the best option for anyone with little or no open credit.
Compared to regular credit, secured cards cannot be denied.
Some people in a credit repair program may have good credit scores and be able to get a regular non secured credit card.
If you are not in this category, secured credit card is what you need.
All they require is a little savings of two to three hundred dollars.
And you will be offered a credit equal to the amount you deposited.
After a while, If managed properly the savings deposit will be released to you and your card converted into a regular unsecured account.
You must manage your secured cards properly because all your purchase and payment decision is been monitored.
Paying as at when due is necessary but of more priority is the way you manage your credit balances.
These new cards are not to be taken slightly; they can reduce your score drastically even if you pay on time.
If you credit balance reaches the limit, you are given Fair Isaac a negative opinion.
Credit is a burden on your monthly budget.
By there is an advantage that would help you really good if you send the right message, you will get very good scores.
The updated FICO scoring model recognizes six different balance in your credit limit.
The balance to limit ration are 20,40,60,80 and a deadly 100%.
If you want a high credit score, keep your balance below 20% of your credit limit.
And you will see a whooping result.
It only takes you halfway.
In cleaning up, you need to open a new account; else all your effort will be useless.
A lot of people don't bother repairing their credit because they feel after some time; all negativity will be removed from their record.
This is true but unfortunately, FICO scoring model will not tolerate this.
Most times, the process will result in the deletion of some trade line history.
This will help your record on the long run but if you have insufficient credit, the removal of any data can result in a lack of information for FICO scoring model.
And that gives you a low score.
Fair Isaac and Company created the FICO Scoring model used in calculating scores that lenders use in determining their risk in borrowing you money.
Fair Isaac did not make the details of how the calculation is done public but it does make sense.
By paying close attention, you will see how your activities are interpreted into number.
Fair Isaac is an unbiased observer of your financial activities, calculating risks of default.
Fair Isaac looks at both your past and present credit history.
Fortunately, a new activity is considered before an old one.
So, everyday is an avenue for you to prove that you can manage your credit.
Secure card is the best option for anyone with little or no open credit.
Compared to regular credit, secured cards cannot be denied.
Some people in a credit repair program may have good credit scores and be able to get a regular non secured credit card.
If you are not in this category, secured credit card is what you need.
All they require is a little savings of two to three hundred dollars.
And you will be offered a credit equal to the amount you deposited.
After a while, If managed properly the savings deposit will be released to you and your card converted into a regular unsecured account.
You must manage your secured cards properly because all your purchase and payment decision is been monitored.
Paying as at when due is necessary but of more priority is the way you manage your credit balances.
These new cards are not to be taken slightly; they can reduce your score drastically even if you pay on time.
If you credit balance reaches the limit, you are given Fair Isaac a negative opinion.
Credit is a burden on your monthly budget.
By there is an advantage that would help you really good if you send the right message, you will get very good scores.
The updated FICO scoring model recognizes six different balance in your credit limit.
The balance to limit ration are 20,40,60,80 and a deadly 100%.
If you want a high credit score, keep your balance below 20% of your credit limit.
And you will see a whooping result.