The way many of us grew up credit was not talked about. Our parents feared credit and we always heard about credit nightmares. But once we grew older figured out that we need credit. Not only do we need credit we are behind on the power curve. I am going to give you a strategy to help you build your credit from scratch.
Step 1: Getting credit
The 1st step will be to get some type of credit. Its 3 ways to do this. The 1st way is to find someone with a credit card and ask them to add you as an authorized user. This will give you all their credit history and if it is good credit history it will boost your score. The 2nd way is to apply for a small credit card. The 3rd way is to go to your bank and tell them you would like to apply for a secured credit card. These are 3 of the easiest ways to get some type of credit.
Step 2: Building the credit
You want to make all your payments on time. You want to keep your credit limit to below 30% of your available credit. Every 3 to 6 months you want to apply for an increase on your credit card. You may not always get the increase buy apply anyways. Every time you get the increase it will boost your score up.
Step 3: Apply for a bigger loan
In this step you want to get a car loan or a mortgage. These will help your credit score a lot. At first you will take a small hit. But after you have been paying on it for a few months your score will increase. Don’t miss any payments. If you miss some payments your score will drop a lot.
Use these 3 steps to build your credit. Don’t be afraid of credit cards or credit. Play the game and reap the rewards later. If you need a credit audit so that you can see what’s going on with your credit go to the contact me and schedule a call.
During your life, never stop dreaming. No one can take away your dreams.