One place to investigate is the local Federal Credit Union on your base, or in your area. There are benefits eligible to you as a member of the Armed Forces that allow lower interest loans, or give you advantage to access services at preferable rates. Credit Issues to address in building an excellent financial history are:
Get out of Debt: Live within your means, and work to gradually bring your debt down, or to eliminate it.
Card Reduction: Use a single credit card, one that has low or no fees attached, or even use a debit card instead of a credit card.
Cash Out To Reduce Debt: If you have a large amount of debt, and a savings account, it makes financial sense to use savings to pay off the debt. While the debt exists, the amount of interest normally vastly overshadows any interest your savings gains. So reduce debt first, then focus on savings.
Access Professional Services: If you are at the point of crisis, then there is help out there. Consumer Credit counseling, or other professional debt services can help you work out a plan, and sometimes they help you think of things you might not know about, or that don’t occur to you.
Avoid Bankruptcy: If you are struggling, attack the problem and find a solution. Don’t wait, it only gets worse over time. And use bankruptcy only as a last resort, it stains your credit and can affect you in the area of security clearances. Having good credit is really important.
Here are some other things to keep in mind when using your credit:
Close Accounts: If you have multiple accounts you don’t use, then pay them off and close them. Having an excessive amount of credit accounts open hurts your credit score, so pay off your extra accounts and close them.
Track Expenses: Many people use their credit statement to track their spending. This is a foolish idea. It is important to establish some method of keeping records; you should write down or keep a journal of your spending. Not only will it raise your awareness of where you spend your money, but it also helps with accuracy.
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December 29th, 2012 at 7:00 am 0 0
Lenders are like scared liltte kids they rely on what everyone is telling them, and your credit report says it all. If you were to lend me $50 and I never paid you back will you ever lend me money again? What if I tell all my friends will they lend you money? Your credit report conveys this information, faster than girls spread cooties.If you have negative items, contact the people you owe and tell them you are willing to settle on the debt (offer them 40% of what is owed) create a letter for them to sign off on that states you want all negative items removed from your credit report and a letter stating that everything was PAID IN FULL (not settled, or settled as agreed). Once you settle, contest the listings on your credit report with all the credit bureaus:Equifax, Experian, and TransUnion. Then begin to pay large amounts toward your active credit cards NEVER spend more than 40% of the credit available (if your credit limit is $1,000 dont go over $400 on the card). always pay your bills on time (not late) then it takes time and you should begin to see your credit score rise 35% of your score is debt to income (what you have borrow vs what you are allowed to borrow)35% is payment history (something you need to get cleared up)10% length of credit history (so dont close accounts you have paid off)Hope that helps