July 9th, 2013 | Author:
creditscoreMany customers ask how do I build my credit?
My answer to them is get a small loan for example $ 200 – $300. Keep the payment manageable to where you know you will be able to pay it every month on time. I would even suggest staying a month ahead in your loan payments.  Make sure the loan is reported to a credit bureau.  You want to have revolving payments on your credit.  Now this doesn’t mean go crazy and apply for several loans.  You don’t want everyone pulling your credit as that will lower your score every time someone pulls a report.
If you have credit cards don’t max the credit limit. Companies look at your credit availability on the current revolving accounts you have on your credit report.  You do want to use your credit card but only put on what you can immediately pay back.
When you are looking for a vehicle be careful who you give your social security number to because dealerships and car lots will pull your credit the minute after you give them the number.  Remember that is their job to sell you a vehicle so knowing your credit score is their first step.
Here is a website link that will help you raise your credit score: click here