ASK THE EXPERTS
Steven Thalheimer
Principal of Thalheimer Financial Planning in Silver Spring, Md.
|
TOOLBOX
   Resize
COMMENT
 Discussion Policy
 CLOSE
Comments that include profanity or personal attacks or other inappropriate comments or material will be removed from the site. Additionally, entries that are unsigned or contain "signatures" by someone other than the actual author will be removed. Finally, we will take steps to block users who violate any of our posting standards, terms of use or privacy policies or any other policies governing this site. Please review the full rules governing commentaries and discussions. You are fully responsible for the content that you post.
Who's Blogging  |
What's the secret to a good personal credit rating?
Use credit, and use it responsibly. Even if you hate using [credit cards] on principle, do so to establish a good history. Don't have more than two or three cards, don't open accounts you won't regularly use (including cards offered through retail stores -- even when they provide you a discount on a purchase you're making), and don't max out on any one card.
It's better to have two credit cards, each with a $10,000 limit, and $2,500 balances than a single card maxed out at $5,000.
Pay every bill on time, especially for large, regular items like rent or the mortgage.
Be aware of your cash flow, and develop and stick to a budget. Don't over-extend yourself by charging more than you can pay off at the end of the month.
Don't apply for too much credit in a short amount of time, including both credit cards and loans.
Check your credit report from the major agencies annually and be quick to report errors or inconsistencies.
