I’m willing to bet that a lot of you have never had a credit report before and probably don’t know what one is. In short, it’s a report that looks at your financial background and deems how creditworthy you are. What’s the point of this? Well, whenever you apply for a loan or credit card, the lender will check your report. If you’ve got a bad one, they might refuse your application. Most families will need to get a loan or credit card at some point; it’s unavoidable. Having a credit card can help you pay for things and afford to live a better life. When you buy a home, you’ll need a mortgage loan to help pay for it. So, you can see why it’s important you have your credit report in check.
But, what if you’ve got a bad one? Can you improve it? The answer is yes; you can improve your credit report. I know what you’re going to say next, you’re going to ask how aren’t you? Lucky for you, I’ll tell you how in the points down below:
Pay Bills On Time
One of the biggest things lenders look for is whether you pay bills on time. If you can’t make regular payments, why would they lend you money? Ensure that all of your bills get paid on time and in full. Doing this will have a positive impact on your credit report. Loan companies will be far more inclined to give you money if they know you’re reliable.
Be Wary Of Social Media Activity
This next point may confuse you a little bit. How on earth do social media and your credit report link to one another? Most people think that credit reports solely consist of your financial past and credit score. But, this is not the case. By looking on whatlenderssee.co.uk, you’ll notice that lenders check social media activity. They see what you’ve been posting and who you’ve been interacting with. So, be careful of what you post as it could lead to a bad credit report. Stay clear of talking about money issues and things like gambling/betting.
Spend Less, Save More
Spending money is a big issue when people check your credit report. Spend too much, all the time, and you won’t have a good report. No one wants to lend money to someone that will just spend it all as quickly as possible. It shows you’re careless with your money. But, if you spend less and save more, it has the opposite effect. They love it when people save, it shows you’re responsible. Check out some family money saving tips here: http://www.moneymagpie.com/.
Pay attention to these tips and you’ll soon have a vastly improved credit report. Remember, this is important if your family needs to get a loan or apply for a credit card. I know that finances can be a bit of a bore, but you have to keep them in mind. The last thing you want is for your family to be unsure about its finances.