Did you know you're making history? Every time you pay a bill on time or don't pay it on time you're building your credit history. Take into account some of the things a good credit rating can "buy:"
- The ability to purchase big ticket items, like a home, boat or new car
- A potential source of funds in times of emergencies or short periods of unemployment
- A means to finance unexpected expenses, such as a new roof or car repairs
- Peace of mind
How can you achieve or maintain a good credit history? Here are a few suggestions:
Create a budget so you know exactly where all of your money is going. Keep daily records of everything you spend for a month and decide where you can cut.
Start a savings account and commit to funding it regularly. One reason people run into credit problems is that they don't have cash on hand for everyday purchases.
Consider transferring the balances from multiple credit cards to one new, low-interest credit card.
If you own a home, consider taking out a home equity loan to pay off the balances on your credit cards. The interest usually is tax-deductible. Consult your tax advisor regarding interest deductions.
Balance your checkbook regularly to prevent checks from bouncing. Too many bounced checks can have a negative impact on your credit report. You can help prevent overdrafts with U.S. Bank Overdraft Protection.
To avoid late fees from creditors, make it a point to pay your bills on time. U.S. Bank Internet Bill Pay ensures your bills are paid on time, every month automatically.
For more credit-building tips, contact U.S. Bank for help.
Create your plan for financial success with these helpful tools:
Calculate how much I can save each month
Determine how I can pay off my outstanding debt
Estimate what it will take to pay off my credit card balances
Determine the best way to consolidate my debts