12 • How do I Reestablish
my Credit History and Rating?
There are a few credit building basics that everyone needs to know. Don't be late! Pay all your bills on time. Never bounce cheques or miss a payment. Keep your credit usage low and repayable. Multiple accounts provide a high total credit limit that can keep your debt to limit ratio low. Monitor this and don't use more than a third of your credit limit on any account. Don't cancel a credit card because this lowers your available debt to limit ratio, which can have a negative impact on your credit score. Keep your oldest credit accounts active in good standing by using it for one or two recurring charges like a utility or car insurance bill that you would normally pay by cheque. Diversify your types of credit between credit cards, registered loans, leases and mortgages but don't apply for multiple new credit accounts in any short period of time because the computers flag seeking credit as a risk.
Sixty-five percent of your credit score is based on how much credit you are managing and how well you meet your repayment commitments. So, there is no getting around the need to show a credit history over a period of time, the longer period the better. Don't close out old accounts because this will shorten the total time of your overall credit history. This needs to be an unblemished run of on-time repayments so this history will take time to rebuild; depending on how tarnished your report, it may take at least 12 to18 months of steady reliability to rebuild a satisfactory history.
Beyond the basics, the quickest method in establishing credit is through use of the strategic Credit Booster Club Programs. Through our hands-on programs for managing your own finances, Credit Booster Club teaches optimal money management and expense repayment habits. We first create a custom plan to eliminate collection debts that stain your credit report and then continue to adjust the plan to manage your obligations in a timed credit builder process. The first step is to utilize the Advantage Benefits Card, which offers members instant approval the first Credit Reporting Loan program. Further, after this is installed we offer both entry level credit building programs to get your credit recovery restarted and more advance programs of reporting loans and lines of credit though our various sources and affiliates to accelerate your credit building activities.
For anyone who wants a higher credit standing to gain the best possible mortgage rates can benefit from this learning process. Of course those who have had credit problems in the recent past will recover. Here is what you will need to know if you would like to start taking steps to improve your credit score:
You get credit education and guidance with Programs to Fix Your Credit!