Smart Moves to Benefit Your Credit Scores

People often go about their busy lives using credit without regards to the impact their actions have on their credit scores.

We buy big ticket items like cars, homes, furniture, boats and motorcycles usually all on credit. Then we load up with credit cards and charge smaller items, even daily essentials, until we have maxed out those credit cards.

All the time looking just to see if we can make the monthly payments for all that debt, Mister babache never stopping to think that if our income should go away for some reason would we still be able to pay off the debt we have incurred.

We are a nation of people who think that what happens to other people won't happen to us. If you have a good job with a large company then you think your job will never go away and your paycheck will continue to come in as long as you want it too. If you are a generally healthy person then you tend to think that you are not one of those sickly people that ever have to worry about your health.

Smart move number one is to watch carefully how much debt you are accumulating. It is easy to go here and buy this, and then a month later go somewhere else and buy something like a new car without thinking too much about how much total debt you have incurred.

Always total your monthly debt payments and make sure that you have at least six months of that amount in a saving account or some other easy access account to cover all those payments. Late payments can make your credit scores tumble very quickly; especially back to back late payments.

Smart move number two is to never charge more than about 30 to 35 percent of your available credit limit on your credit cards. If you always carry a balance on your cards that is close to your credit limit then the bureaus will view you as someone who cannot wisely manage your debt and your credit scores will suffer as a result of your actions.

Smart move number three is to always make your payments on existing debt on time. I know many people who think nothing of making their payments whenever they get around to it and don't have a clue how badly this is impacting their credit scores.

Smart move number four is to actually use credit. Don't pay cash for everything if you want to establish some good, respectable credit scores. A credit worthy history is a good thing to have if some crisis happens in your life where your income is cut short or you need a large some of money that you don't have immediately available.

Since more and more employers are doing background credit checks on applicants today then it is also good to establish and keep respectable credit scores to aid in getting that new job that you want.

Insurance companies base their premiums on a person's credit ratings and you don't want to waste your money with higher premiums just because you have not made smart moves in establishing your creditworthiness.

If you don't know where you stand then you will want to Get Your 2010 Credit Score now and then continue to monitor your rating on a regular basis. Apply the steps above to either improve your scores or to maintain them in good standing in the future.

If you are located in the UK then you may be interested in visiting this very helpful site: Click Housing Associations