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Good Credit Building

04:04:44 AM Thursday, May 31, 2007

Get good credit card deal with a little bit of time and effort!

Getting good credit can be a difficult task for a newly christened credit holder. Those with no credit face a difficult position because they are told they can only get a top credit card deal if they have excellent credit. But…they can only get excellent credit if they have the best credit card deals!

This happens frequently with students credit cards because students don’t yet have any credit to build! So, what should you do if you find yourself in this position? There are a few steps you can take in order to build your credit score quickly and keeping your finances intact!

Where to start? The only way to build a good credit score is to show a history of responsible use of credit and finances. The first step in this is to keep a solid job with a good employer for a few years. Lenders don’t want to lend someone money if they have a history of jumping jobs and can’t settle down. This type of inconsistency is sure to keep the creditors away and your wallet empty of credit cards- or at least good credit cards!

A second thing you can do is set up a checking and savings account. This simple (and free!) step shows lenders that you are serious about building a good financial standing for yourself and you don’t want to mess up. Along these same lines you should remember to pay all of your bills on time- even the ones you think aren’t important!

Your rent, utilities, phone and even cable bills should be paid on time and in full each month. If you pay late consistently it will hurt your credit score and lenders will see this! Having bills in your name will also keep your credit score high because it shows responsibility.

If you are truly interested in building your credit to a strong enough level to get the top US credit cards or the best credit card deals UK then you should get a copy of your credit report. You can get this from one of the three main credit bureaus in the United States- Equifax, Experian or Trans-Union. Each of the three will have a file about you and your financial history- although each of the three may have slightly different information.

It is important that you check your credit report for accuracy because nearly 80 percent of all reports have some inaccuracies within them! And since any inaccuracy will bring your credit score lower it is crucial that you get them reversed before it hurts you anymore!

When you look at your credit report make sure there aren’t any suspicious activities such as open credit card accounts that you don’t know about or bills in other states.

Getting the top credit card deals

Finding the best credit card deals can be possible if you currently have a poor credit history but it will take some time and some patience on your part. Here are a few more ways you can accelerate the process:

1. Look to fill out a credit card application for a secured credit card. These cards work like debit cards where you deposit money and can only spend that much. They will build your credit though!
2. Apply for a credit card with a co-signer who is a family member or close friend. As long as they allow, you can show a lender you are capable of paying your bills by yourself.
3. Try to obtain a gasoline card because these are among the easiest credit cards to get accepted for. While they have high APRs, having this is better then nothing!

These are some more ways you can improve your credit score without too much effort and without much risk:

• Don’t use your credit limit as a goal! Many consumers see their credit limit as a goal, not a limit. Maxing out your credit card each month will hurt your credit. Don’t just pay your minimum balances each month either. Paying the minimum balances will show that you are unstable financially.
• Limit how many people can see your credit report! The more lenders who sneak a peak at your credit score the lower it will get! Even though many credit card companies may want to see your report make sure you know who is seeing it and when because it is a federal crime for someone to see your report without your knowledge/ permission.
• Pay your bills on time! The fastest way to build your credit and the best way to keep excellent credit is to pay your bills on time! Being responsible financially is the first step to showing lenders they can trust you!