How To Increase Christian Credit Score
How to increase Christian credit score numbers is often on the minds of those who have just gone through the embarrassment of being turned down for an important loan such as a mortgage. This is not something that can be done quickly necessarily unless certain fairly intrusive steps are taken to give a quick jolt to credit score or borrowing numbers. A low borrowing number sent out by reporting bureaus can be a true mountain for people to climb. Low scores can keep people from getting jobs, renting apartments, buying houses and even insurance companies want to know where people fall in the numbers spectrum before giving out auto rates. And besides that, low numbers will also mean thousands more dollars in interest payments will be made by those with lower numbers. But these scores can be raised and they can be manipulated and there are mistakes on borrowing histories that can also bring down the numbers.
The question of how to increase credit score numbers begins with understanding how borrowing history scores are formulated. The three large loan reporting companies in the United States look at all the numbers in different ways, but Experian, Equifax and Trans Union all report that thirty five percent of the report and score are formulated by how well the consumer has paid debts on time. Thirty percent of the report and score are pieced together by how much debt a consumer has as opposed to how much the borrowing ceiling is. Fifteen percent of a borrowing number is based on the length of time a person has been borrowing money, which means the longer the history the better. Ten percent of the number is based on the type of loan is used, such as revolving, installment and consumer finance and ten percent of the number is based on how much search for borrowed money has gone on in recent months.
There are "gadget" ways to answer the question of how to increase credit score numbers. A person can find all sorts of ingenious to get a bump in the borrowing numbers online, but remember that they are not necessarily tested and proven to be the best way of accomplishing the feat. One such method is to actually apply for four or five plastic cards within a day or two of each other. It is known that numerous inquiries (which a creditor would make when an application comes in) can make a score take a dive. But in the case of making four or five applications in the span of a few days, the borrowing report will only take note of one inquiry making it a much less costly proposition. And if each bank plastic card has, for example, a three thousand dollar limit, then four cards have quickly bumped up the consumers debt ceiling by twelve thousand dollars, causing the score to go up quite a bit. Maybe as much as five or seven percent.
Some online "experts" also promote the idea of finding catalog plastic where debt ceilings are very high and the turndown rate on applications is almost nil. A couple of these cards in hand can really raise the debt ceiling, making someone's overall indebtedness not nearly an issue when compared to what he might be allowed to borrow. But does a person really want more cards in their wallet and even if the wise person would cut them up when they arrived in the mail, is the optimum having more and more open accounts? And are these ways really how to increase credit score numbers? The real experts in the borrowing field say that the answer to how to increase credit score numbers is through the old fashioned way of getting an extra job and paying down accounts to fewer than seventy percent of the allowable debt ceiling on each card. Additionally, these more traditional methods also include making sure that there are both installment loans and revolving loans on a borrowing history and that old open accounts that show up as questionable be made right through payments that bring the account up to date. How to increase credit score numbers is through changing the way the consumer lives by not being addicted to credit and by finding the means to get accounts well under control.
How to increase credit score numbers? First, a consumer must order his free credit reports from the three major credit reporting companies, Equifax, Experian and Trans Union. Each year a person is allowed to order one free borrowing history report from each of these companies and when they arrive, every little word and phrase should be scrutinized for any possible errors which can be appealed and removed. All finance company loans should be removed from a credit report because they look bad to a credit bureau computer. Making every effort to study how credit scores are computed and crafted is the most important way for a consumer to get his borrowing numbers up to over seven hundred.
Sadly, for some people how to increase credit score numbers may be one of the most important questions in all of life. This number can be very important if the consumption and acquisition of things is of paramount significance to a person. It should be said in this discussion that handling money poorly and failing to repay debts on time could be a measure of someone's integrity. Jesus made it clear that where someone's treasure lies is also where his heart is. "Lay not up for yourselves treasures upon earth, where moth and dust doth corrupt and where thieves break through and steal... for where your treasure is, there will your heart be also." (Matthew 6:19,21)
Improving Christian Credit Scores LegallyFor most consumers, improving credit scores legally is not a complicated process. But it may take discipline and patience to repair a tattered financial history. A variety of factors can cause a score to go down in the first place. Some of these factors could include a history of late payments, repossessed assets, and property foreclosures. Certain actions become a matter of public record and these actions can greatly impact a score. If an individual has filed for bankruptcy, or had a tax lien or legal judgment against them, this will be reflected and will impact the score. The most significant consideration in these reports may be payment history. Just one late payment that has gone delinquent for 30 days or more can greatly impact the final score. Some seemingly innocent activity can negatively impact a score as well. Opening up new charge accounts can be interpreted as an increased risk, even for consumers with a spotless history. In spite of all the factors there are many things that can be done to turn things around. The possibility of improving credit scores legally is not as difficult as it might seem.
When working toward improving credit scores legally, patience is key. Slow and steady financial responsibility will certainly pay off in the long run. Online services that promise overnight results are usually too good to be true. The timely payment of monthly bills is obviously a major factor in getting that score back where things should be. Anytime an individual has missed a payment, bringing that delinquent account up to date as quickly as possible is very important. Once things are back on track, keeping them there is equally important. If an account has gone to a collection agency, by all means pay that account off. But don't expect this delinquency to come off the report. The delinquency will most likely follow the individual around for seven years or more. Counselors can also provide helpful tips for improving credit scores legally. It is always a better idea to pay off outstanding debt rather than move the debt around from charge account to charge account. Charge cards are regarded as revolving credit because the balance on these cards can change from month to month. A wise consumer will work to keep the balances low.
Many people are under the misconception that closing out rarely used charge accounts will go a long way toward improving credit scores legally, but this is not an effective practice. Conversely, opening up random accounts as a way of boosting available credit will not raise a score and could in fact lower it. Of course, there are appropriate times to open up new charge accounts. As long as this is done responsibly and payments are made on time, this will not generally adversely affect financial scores. Credit history is based on how an individual handles debt. Do they behave responsibly and keep balances from getting out of hand? Is an individual's debt to income ratio a healthy one? Having a limited history because of a lack of charge accounts can work to the negative. There may be no debt, but there is also no history of responsibility with debt. It's all about showing a solid and healthy history in regards to debt. Anyone interested in improving credit scores legally should keep these facts in mind. The Bible talks about the importance of expressing praise to God. "I will sing of the mercies of the LORD for ever: with my mouth will I make known thy faithfulness to all generations." (Psalm 89:1)
Most credit reports will include a list of negative factors. These factors explain the items that have lowered the consumer's score. By paying special attention to these factors, an individual can work toward improving credit scores legally. Thankfully these factors do not need to remain forever. Anyone who works hard to make payments on time and show good faith in handling financial issues will reap the benefits of this responsible behavior over time. When the unexpected does occur, such as job loss or illness, it is always a good idea to contact creditors and explain the situation and let them know that every effort is being made to make timely payments on debt. Some creditors will even work with the borrower, perhaps applying special hardship policies to the borrower's account. Excessive charge card debt can have a major negative impact on a score. For this reason it is always a good idea to keep charge card balances low. Anytime that a charge account balance exceeds the consumer's credit limit, this is a recipe for disaster.
Another effective approach for improving Christian credit scores legally is to work toward increasing limits. When someone has a large amount of available credit, this can work to raise financial scores. If a charge account provider can be persuaded to raise limits on the account, this can raise a score as well. If possible, it is always a good idea to pay off card balances early, before the statement date, rather than the due date. This will reflect positively on reports. Generally, the longer a consumer's history extends, the better the chance for good numbers in their report. For this reason, the occasional use of an older charge card can boost a score. Another method for improving a score is to be placed on a responsible friend or family member's account as an authorized user. This will bring the entire history of the account into play and will generally positively affect financial reports.