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WHAT IS GOOD CREDIT
If you have been wondering how good
credit goes bad, it's actually a lot
simpler than you think. Credit is
fragile and it seems like all you have
to do is sneeze and something happens
to it to bring your credit score down.
How good credit is established and
maintained is entirely up to you and
how you treat your bills, your credit
card payments, and all of the other
loans you take out.
How good credit is ruined
When you do not pay your bills on time
or are new to the credit world and
have an insufficient credit history,
you are labeled as having "poor"
credit. This isn't exactly fair to
those who have never had a chance to
get credit, but that is,
unfortunately, part of life. How good
credit is obtained in this situation
is by accepting that line of credit
with the higher interest rate and
paying on it properly.
How good credit is ruined is also by
not paying attention to what is on
your credit record in the first place.
Cases of mistaken identity happen more
often than you know so by doing due
diligence on your credit report, you
can make sure that your good credit is
not ruined by someone else’s mistakes
and hardships.
What are some other ways of getting
bad credit? Here are a few more:
* Auto Repossession
* Delinquent Credit Card
* Law Suits - Judgments
* Collection Accounts
* Foreclosure
* Unpaid medical bills
* Liens
* Late Payments on Mortgage
How good credit
is maintained
You can keep your good credit by
paying your bills on time, reviewing
your credit report on a regular basis
and challenging things that are not
yours or incorrect, and reducing debt.
How good credit is kept is up to you
and only you. |
