Land Park, East Sacramento
and Curtis Park Specialist

CREDIT SCORES DO’S AND DON’T’S!

Isn’t it amazing how much a little three digit number can affect our daily lives?  Credit scores can influence not only our ability to purchase a home or car, but can affect the quality of our credit cards and our ability to get a job.  Here are some interesting facts about credit scores:

  • Does viewing your credit score hurt your score?  If you are simply viewing for your own information, it doesn’t usually change the score.  However, if your lender is pulling your credit score, it can slightly lower it.
  • Do you want to help your children by co-signing their loan?  While generous, understand what you are offering.  If they come into some tough times and can’t make their payments, you are going to be held liable and it will affect your credit score.
  • Do you want to help your score by closing old or inactive accounts?  Think twice!  This also shortens the history that the rating companies have regarding your diligence in paying on time.
  • You have made your utility and rental payments on time – doesn’t that count for something?  If you hadn’t and they had gone to collections, it could negatively affect your score.  However, making them on time is not typically reported to the rating agencies.
  • You have worked hard to remove those negative records in your credit score.  Now, are those negative records expunged?  Nope.  They can stay on your record for as long  as 7 years.

So, there you go!  Keep that credit rating strong simply by on time payments and not overloading yourself with credit debt.

 

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