Building your Credit Score?

I would like to know if there are several really good ways to build a credit score.

Also is it better to have a balance and pay it off every month or is it better to have no balance at all.

Thanks

Building your Credit Score?

I have to make decisions everyday on whether to approve or deny people that apply for credit. If I had to give advice to people that are trying to start out building credit, this is the advice that I would give:

1. Open a checking account- While opening the account doesn%26#039;t directly build your credit, it does create a relationship between you and the bank by being an accountholder. Banks love to cater to their preferred customers that have accounts in great standing by offering loans and credit cards. Also, having a checking account not only helps manage your money, but it gives you the most powerful tool in building credit, a checking account to help pay your bills on time. Most banks and credit unions offer online banking with billpay that can make it easy for you to pay your bills on time, which is important in building credit.

2. Open a secured credit card- Secured credit cards are the easiest credit cards to get, mainly becuase a security deposit is placed upfront in order to establish a line of credit in the same amount. For example, if you deposit $250, your credit limit is $250, and so on. The deposit isn%26#039;t used to pay for any of the purchsases on the card unless, it was charged off and sent to collections, so you would have to repay it just like a regular card either in full or minimum monthly payments. The deposit is sometimes linked to a savings account, so it earns interest while you%26#039;re building credit, so the deposit isn%26#039;t sitting there. You can think of this as building credit with a savings account. The more you deposit, the higher your limit, which is good for your score because it creates a cushion between the total debt you owe and the credit you have available. Also, by continuing to add to the deposit, you%26#039;re also creating an emergency fund at the same time. A good way of using the card is by making small purchases ($20/month max) and paying on time every month while adding to the deposit. Usually after a year or so, the card either converts or upgrades to a regular card, and most importantly, the deposit is given back, which you can place in a savings account as an emergency fund.

3. Enroll with PRBC- PRBC is America%26#039;s Alternative Credit Bureau, providing a helpful service to the over 50 million people with limited or no credit history. If you pay your monthly bills on time, PRBC can help you build credit to qualify for a mortgage and better interest rates.On-time payments for the following bills are not reported to the traditional credit bureaus:

Rent

Cable

Phone

Daycare

Insurance

Electric

Natural Gas

Cell Phone

The only time your payments for these bills are reported to the other credit bureaus is if they%26#039;re missing or late.With PRBC, your on-time payments count. You build credit for paying your bills on time, even if you have no credit history. PRBC offers two simple ways to start building credit today.

In closing, just a few more things to keep in mind.

-Don%26#039;t spend more than 30% of your combined available credit on all your cards.

-Only apply for credit when necessary.

-Pay on time

Hope this helps...

Thanks for reading and...

Good luck!

Building your Credit Score?

The only way to keep a good credit score is to have credit, use it wisely, and make your payments on time. It%26#039;s best to have no balance on credit cards--available credit is one of the formula%26#039;s factors and who wants to pay interest, but carrying a balance while making payments on time isn%26#039;t going to kill an otherwise good credit score. Don%26#039;t max out any cards. That%26#039;s not a good idea for a multitude of reasons.

Building your Credit Score?

To build a credit score, pay all your bills on time and in full. This means telephone, electric and similar bills, rent, and credit cards.

If you are asking about a credit card balance, it is best to pay it off in full every month. It is also economically wise, because you avoid interest charges. to have a credit card with no balance cannot hurt you and may help a little. When you apply for more credit, an active card with no balance shows that others are willing to extend credit to you. However, there is not much point in having a credit card you don%26#039;t use. The point is to use it properly. That means do not charge more than 25-30 percent of your credit limit, pay it on time and in full

Building your Credit Score?

your best bet will be getting a credit card, which at the begining will have high interest rates and a fee but this will be the only way to get you going, but once you have use this card for about 6-9 months and you have paid your bills on time and all that good stuff you could apply for a better one and drop the first one, then you could try to get a small car loan or personal loan to give you more credit. that is how I got started credit is hard to get so when you get it take care of it, check out www.fastcreditcardapprovals.com and go under poor or no credit section and it will give you a list of credit cards for you. good luck