According to the credit bureau, Experian, at least one-third of Americans have bad credit. Credit is a critical piece to maintaining financial health. If you have difficulty understanding credit or need help to navigate how to fix it, let Increase Your Credit Score, LLC help you.
Why Good Credit is Important
Your creditworthiness helps banks and lenders determine if you’re a high-risk factor. In other words, they use your credit score to determine if you’re likely to default on the loan. Your credit score can be used for virtually everything, such as:
- Apartment renting
- New job, especially in finance
- Car loan
When you open a line of credit—albeit a loan, gas bill, or credit card—the assumption is that you will pay back the debt you accumulate over time. The more debt you have, the less income and assets will be available to obtain new lines of credit—this is called debt-to-income ratio. Keeping the debt-to-income ratio low will increase your credit score and evenly balance your lines of credit with the income you have.
Do You Need Help from a Credit Counselor?
When it comes to credit, you would be surprised to know that a little ding on your credit report or an error that you missed can hinder you from purchasing your dream home or a new car. If you have been denied credit, it may be time to have a credit counselor review your situation. They will review all three of your credit reports, help you develop a credit repair plan, and fully teach you about the three ”how’s”:
- How to review the credit score module
- How to highlight problems on your credit
- How you can work with creditors
Maintaining financial health can be frustrating, especially if you’re working on cleaning up your credit. If you’re ready to take that next step, contact Increase Your Credit Score today. One of our counselors is ready to assist you in reaching financial freedom.