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Credit Education > Credit Score > Building and maintaining a good credit score

Building and maintaining a good credit score

By Janet Lacey
Published: Saturday, April 3rd, 2010

Credit score represents an easy and effortless way of knowing whether or not you are a worthy person to deal with. Many financial institutions make it mandatory to reveal your credit score before approving any kind of loan or even giving you with a credit card. In fact, it is necessary to pay your dues on time so that they don’t reflect poorly on your credit history. Using your credit card won’t cause any problem to your score but if you don’t make payments on times, that is where the problem lies.

Some people are paranoid about their credit score and will only do the things that they are sure will not affect it poorly. You don’t have to be so worried about it, because to be honest, there isn’t much different you ought to do in order to maintain your score. Many people think that having a good score means only using the resources that they have and not taking out too many loans. This is not entirely true as in order to build your score, you need to have credit card usage and debt clearance on your records. If you don’t run a debt and clear it on time, then your credit score will not change and might stay in the average ranges.

On the other hand, if you are not careful about it and go about haphazardly using your card not knowing whether or not you have made all the payments, then it might become a problem. Being in control of your finances is not a hard task to master and does have its advantages. You will build a strong credit score, one which is surely going to be the envy of others. In fact, most of the individuals with good scores built it from ground up and didn’t end up such a stellar score overnight.

If someone promises to help improve your score overnight, don’t believe them. Fixing a credit score takes time, but it will definitely happen if you stick to the process and do everything like it is supposed to be done. Just repay your debt like how you are supposed and don’t involve in any unnecessary expenses and you should be fine. In fact, if you can, try and consolidate all your credit cards so that you don’t have the temptation of buying too many things knowing that there is always a credit card which doesn’t have too many bills running on it already.

Don’t fall back to your old ways and make sure that you stick to the plan till the end. Eventually, you should see a significant improvement in your credit rating. Getting a good credit score is something that people try very hard for, but few manage it in the end. The feeling of being one of these few is something special and you should get a feel of it for yourself. You will get credit cards approved on priority and you might be able to get loans for the endeavors that you always wanted to be involved in.

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