Maintain your old Siemens Hipath system

Beginners Guide to Credit

I remember back when I was 18 and completely oblivious to the concept of credit. It seems like eons ago! If only I had known then what I know now about credit. Hopefully, this short guide will be able to give you some ideas on how you can build a solid credit rating... even if you have to do it from scratch!!

Everyone has to start somewhere, whether you are 18 like I was, or even 30, there is no better time than the present to start thinking about your financial future. Chances are, your credit score will come into to play during some point down your financial-life road. And when that time comes, you had better have some concept of credit and how it can help you, or else you might find yourself unable to qualify for much of anything.

First of all, if you are starting from scratch, don't worry! It will take some time, but eventually you will be able to qualify for the bigger things like a car or a mortgage. The first thing you need to do is establish your credit. The easiest way to do this is to get a credit card issued by your bank. Chances are, the bank already knows you and won't have as much of a problem with issuing a card to one of it's current clients. If you don't already have a checking account, get one! There are a ton of great banks out there that issue free checking accounts with check cards to new customers. But take note! A check card or ATM card isn't the same as a credit card! With these you are simply withdrawing the money that you already have in your checking or other accounts. A credit card is very different...

A credit card is actually a right given to you by your lender to borrow a set amount of money from them. You might be shocked to find out that the only card you can get when you are first starting out comes with an outrageous interest rate. Sometimes as high as 15-25%. But don't fret... as long as you pay off your balance every month, those interest rates will be easier to swallow, and you will eventually to be able to qualify for a card with a much lower rate.

A note for the beginner: In order to have a good credit score for life, you need to develop a personal goal... never, EVER make a late payment for anything. I was lucky when I first started building credit to have a mother that ruthlessly instilled in me a healthy respect for the power of paying bills on time. It not only builds your credit quickly, but makes you a good steward of your finances. There were times when I owed money for a credit card bill, and I was so deathly afraid that the creditor would take the bill to collections and ding my credit, that I stooped to borrowing money, just to make sure my credit record stayed clean! I know that seems a little crazy... but trust me, it is extremely important to pay all of your bills on time, even if you have to go out of your way to do it. You will appreciate your diligence down the road.

A warning for the Beginner: Be careful with your spending! It may seem exciting when you first get a credit card with a $1,000 limit, but it can be very dangerous. It is very tempting to pretend that your credit card represents money that you have in the bank. My advice, don't ever spend more than you can pay off in that same month. And if you aren't able to pay off your entire balance in a month, pay more than the minimum requirement. This will help give you a slight boost.

Moving on... After you have had your bank issued credit card for a while, and feel that you can handle the responsibility, try moving onto one of the major credit card companies. There are many out there. Try to find one with the lowest interest rate and no annual fee. Don't apply for too many at once! Each time you apply for a C.C., the company will run your credit to see if you will qualify, and to see what your spending limit should be. One or two should do just fine. If you did well in handling your bank C.C., you should have no problem qualifying. A company I like is Providian; mostly because they give you a brief snapshot of what your credit score is each month, and as a beginner, you will want to start paying attention to what your score is and how it can be effected by your different spending habits.

After a while of responsible spending with your new credit cards, your score will really start to move. You'll notice multiple credit card offers from many companies mysteriously start showing up in the mail. Your score will probably be somewhere around 600-650. This isn't a bad credit score, but it could be better. Most likely, it is around this range because of your lack of credit history. As you can see in our Credit overview section, length of credit history accounts for around 15% of of your overall score.

Another factor that comes into play with your score is the type of credit you have been issued; approx.10% of your score relies on it. You can only build so much credit with your credit cards. Eventually lenders will like to see some other forms of proof that you are able to be responsible with monies borrowed. This is where a personal loan, or a car loan can be helpful. Lenders view this as a different kind of borrowing than from the credit card companies. In terms of building your credit, these types of loans are great.

After that, you should see a significant leap in your credit score, and should be able to move onto bigger and better things like a home mortgage loan! Just always make sure you remember the fundamentals: always pay your bills on time, and never spend beyond your means. With these tips in mind, you will be on your way to making sound financial decisions for life.

Justin Smith is the President of the Christian Real Estate Network -- http://www.Hismove.com

In The News:

Trump, Russia and Wikileaks sued over 2016 campaign
Fri, 20 Apr 2018 16:57:00 +0100
Russia, Donald Trump's campaign and Wikileaks are being sued by the Democratic Party, which alleges they conspired to disrupt the 2016 US presidential election.

Russia: We told US where in Syria they could not bomb
Fri, 20 Apr 2018 08:42:00 +0100
Russia has revealed it warned the US about "red lines" it should not cross before it launched airstrikes on Syria.

'Putin boasted to Trump about Russian hookers'
Fri, 20 Apr 2018 09:06:00 +0100
Donald Trump said Vladimir Putin had told him Russia had "some of the most beautiful hookers in the world", according to memos written by a former FBI chief.

Charles confirmed as next head of Commonwealth
Fri, 20 Apr 2018 12:24:00 +0100
It has been confirmed that Prince Charles will take over from the Queen as the next head of the Commonwealth.

DJ Avicii found dead in Oman aged 28
Fri, 20 Apr 2018 18:28:00 +0100
Music producer and DJ Avicii has been found dead in Oman at the age of 28, his publicist has said.



tikatoshop.it

Erfahrungen mit Pallhuber Wein
Agen Bola SBOBET Terpercaya

Travel in comfort and at your leisure with CT Airlink Limousine & Car Service for top quality private transportation and exceptional customer service. We operate Sedans, SUVs & Vans for CT Car Services to covering all Connecticut airports including Car Service from CT to Newark Airport , Mohegan Casino Uncasville CT, Foxwoods Casino Mashantucket CT, Manhattan Cruise Terminal NYC, Brooklyn Cruise Terminal NYC and Bayonne Cruise Terminal NJ. CT Airlink hire licensed and friendly chauffeurs who have in-depth knowledge of the Areas.

Is Your Credit Score Being Held Against You?

Credit Scores That HurtIs your credit score being held against... Read More

Tired Of Being Broke?...Learn How To Force Banks To Give You Money!

Imagine...obtaining credit that's incredibly easy...opening doors of opportunity you never... Read More

3 Ways to Improve Your Credit Score by 50 Points In Less Than 30 Days

In Less Than 30 Days. "What can you do to... Read More

Beat Credit Card Companies at Their Own Game!

Have you ever wondered how much money a credit card... Read More

Understanding Your Rights Under The Equal Credit Opportunity Act

It wasn't all that long ago that lenders blatantly discriminated... Read More

How You Can Avoid Becoming A Victim Of Identity Theft

To reduce or minimize the risk of becoming a victim... Read More

Pitfalls of the Credit Industry

The credit industry if rife with pitfalls. If you have... Read More

Credit Repair Myths and Facts

There are no secrets to repairing your credit. Many shady... Read More

Credit cards

If gold medals were awarded for marketing consistency, the credit... Read More

Trying to Land a Job? Poor Credit Scores May Hurt Your Chances

Many employers are now looking at an applicant's credit report... Read More

How To Prevent Fraudulent Credit Card Transactions

What Are Possible Signs of Fraudulent Transactions see at Web... Read More

Credit Establishment 101

There will come a day when you need credit. You... Read More

Credit Card Disclosure Table ? Do You Understand It All?

In addition to the APR (annual percentage rate) and the... Read More

Credit Cards And Loans - So Many Options - So Little Time

Credit Cards and Loans sounds like just two things, but... Read More

Beware the Shopping Mall Monster

Like me, you've probably been offered a fair old number... Read More

The FICO Score Misconceptions

There are many misconceptions about credit scores out there. There... Read More

Beginners Guide to Credit

I remember back when I was 18 and completely oblivious... Read More

Saving Money: Quick Cash, High Cost

I didn't think it was possible. But it is. Folks,... Read More

Why Is It important!

Your credit is the most important thing you have other... Read More

Credit Repair: How To Deal With Your Creditors

If you are in danger of credit problems because you... Read More

Two Things You Need To Know About Prepaid Debit Cards

According to the September 2004 issue of the Nilson Report,... Read More

Credit Card Dirty Tricks

There are many of us that have been badly stung... Read More

Your Consumer Rights

If you have ever fallen behind on your debts you... Read More

Reward Credit Cards: Get the Best Rewards Card Incentive Program

A good credit reward card can contribute to your retirement... Read More

Warning: Free Credit Report Imposter Websites Springing Up on the Web

A recent amendment to the federal Fair Credit Reporting Act... Read More