We all know that having a bad credit profile will give you tons of problems, may it be dealing with your eastwest dolce vita titanium mastercard balances or paying off huge amount of loan.This financial situation can lead you to denied loan or credit card application.
If you find yourself in this situation, worry not. There are shortand long-term strategies to improve your current financial situation.
To help you out, we have provided a survival guide for you to help you deal with a bad credit.
Review credit report
Maintaining a habit to review your credit report every now and then is one great way to have a healthy credit. Carefully check if there are any inaccurate details in your history payment. If you find one, have it corrected with your card issuer immediately.
Spread out your debts
It is daunting to deal with several different debts. If you happen to experience such thing, you can opt to have a balance transfer.
Transfer you card balance with high interest rates to your cards with low interest rates. This way, you can save money on interest rates. Plus, you can pay off your debt faster. Make sure to opt for credit card with balance transfer feature, such as eastwest everyday titanium mastercard
Keep old account open
One of the parameters of credit score is the credit length. So, if you have a negative account, do not close it yet, especially if it is an older one. Keeping an older credit account can still help you improve your credit profile.
Maintain a budget
One of the easiest ways to improve your credit is to have a budget and stick to it. Start by identifying your needs and wants. Set the amount needed for each one. You can do it by weekly or monthly, wherever you are comfortable with.
Maintaining a budget will help you organize your expenses and focuses on the important ones. Doing this will also allow you to see where your money goes.
Don’t make late payments
How you handle your balances is one of the keys in building a good credit profile. If you happen to juggle on various credit debts, make a list of it and when it is due. This way, you can properly allot your money to each debt. Hence, avoiding making late credit payments.
Taking a loan
Many people think that when you have a bad credit, you won’t have any chance of loan application approval. In fact, many lenders still give a chance to loan applicants with bad credit. However, they will charge them with a higher interest rate. If you happen to afford paying high interest rates, you can improve your credit score.
Your credit score is determined by your payment history, amounts you owe, types of credit, and credit length.
Knowing what determines your credit profile will help you make ways on how to improve it. Take some measures mentioned in this article and start re-building your credit profile.