HOW TO FIX YOUR CREDIT SCORE?

FIX YOUR CREDIT SCORE

When was the last time you checked your credit score? More than likely, if you haven’t checked it in the last 12 months, someone else has—maybe even your employer. Your credit score is your financial GPA. In good times, it determines how much interest you will pay on any kind of loan, from credit cards to your mortgage. Today, because of the credit crisis and the recession, having a high score is more crucial than it has ever been.
In the current environment, if you don’t have a decent score, you may not be able to borrow money at all—even if you don’t have other debt, and no matter how much interest you are willing or able to pay. In some cases, employers are refusing to hire people who have low scores. I recently gave a talk at the Pentagon and the military leaders there told me that they take credit scores so seriously that a bad one can actually prevent a soldier from being promoted. (That’s because they consider someone with bad credit to be a security risk.)

This alone should tell you how important it is that you take your credit score seriously and work to get it back on track this year. What excites me (and should excite you) is that these days we know so much about what goes into calculating your credit score that aiming to raise your credit score by 50 to 100 points in less than a year—and often in less than six months—is a completely realistic goal.

                       #start over finish rich

Share: