Starting the week off with another round of musings, this time about the ever fun topic of ‘credit’. We all know of it, but what of it?
Many people aren’t aware of the impact of holding a high balance on a line of credit or credit card can have on your credit score. If you are utilizing over 60% of your available credit card or line of credit it could be negatively impacting your credit score. Here are some ways to ensure your balances don’t impact your score – ensure your balances don’t exceed 60% even if they are paid in full monthly, if you are using greater then 60% inquire with your existing provider if you can obtain a credit limit increase – to ensure your balances fall below the limit. If you have all bills paid off of one credit card & you have another one accessible – it could be beneficial to spread the payments over both credit utilities to ensure your balances don’t rise above the preferred utilization rates by the credit monitoring agencies. If you need guidance or assistance in how best to manage your debts, consolidate or restructure your existing credit – feel free to message me directly I would be happy to help!