Simply because... with a long credit history, a prospective lender can see how you have operated your credit facility over a considerable period. Nobody's credit history is perfect - everyone has at least 1 or 2 lapses on their record. Having just a short credit history doesn't show 'trends' or patterns of (perhaps) persistent late payments.
The credit history of a person is the record of whether this person has paid his or her loans, and how promptly.
You have to establish credit. One way is to obtain a loan through a furnature store or auto dealer. You purchase an item, and even if you could pay cash, take advantage of 'no interest for three months' or other such items to make payments on the item. This will build up a credit rating. One or two credit cards, (Not dozens!) with prompt pay-offs, is always a good thing. If you are renting through a large property management firm, they may report your rent payments to the credit bureaus.
WOTC is an acronym for the the sentence "Work Opportunity Tax Credit". WOTC is a federal tax credit given to employers to be given to groups that are at high unemployment rates. It is used to help these groups gain the skills and experience needed to obtain better job opportunities.
Debit cards were introduced in 1977-1978. Master Charge, now called Master Card had a debit card called Signet. Visa's debit card was called Entree.
Credit cards came into use in 1951. One of the first credit cards was the Diners Club card and Visa.
A credit counseling agency is a business, or partnership which gives advice on either boosting your credit scores, and expunging credit blemishes from your record.
A credit counseling agency is a business, or partnership which gives advice on either boosting your credit scores, and expunging credit blemishes from your record.
One does a credit history check by running a credit report. There are three major credit bureaus which handle this, and the most complete history is obtained by running a report through all three. There are ways to do this for free at least once a year. Once the credit history report is run, then the report should be looked over and any mistakes, particularly ones which reflect badly on the creditor, should be corrected.
Although having a good credit history is better when applying for a mortgage it is possible to still get a mortgage with a bad credit history. When getting a mortgage with a bad credit history, one will have to pay a higher interest rate. Show the mortgage lender that you have a good job that will cover your mortgage. If you eliminate all other debt it looks better to the lender and gives one a better chance at getting approved.
Whenever the lending institution wants one. Basically, if the primary applicant has no credit history, or a poor credit history, lenders may require that someone with a longer/better credit history cosign.
Not having a credit history is better than having a bad credit history. Bad credit is very bad... No credit is good. you are now ready to apply for credit. Start small, like a department store credit card. You must establish credit and use it in order to get a credit rating.
Diamond - you should be making more than 250,000 or should have a nice credit history.
I've read that closing accounts after they've been paid off can actually hurt your credit score. Among the factors considered in calculating your credit score is the length of the credit history you have, so a history of accounts that have been paid on time is better than a recent history of fewer accounts.
The credit bureaus can offer information on what to do to imporve your credit history, as can credit card comapnies and many government publications. Unfortunately, there isn't really a way to "repair" you credit so much as develop practices to protect your rating and improve your credit score through paying debts and not incurring new ones. BEWARE of any "credit repair" offers. They are a scam and sometimes illegal. Your credit history is simply a reflection of your spending habits. Nothing more, nothing less. Act responsibly, live within your means and your credit history will slowly get better and better.
They can help other companies know you have a history of good credit, helping you get better deals on insurance and stuff. Basically it saves you money.
Some companies get better commercial loan rates than others because they have a better credit history. Possibly they have taken out a loan in the past and have paid it back on time, so their credit history is excellent, and they receive a good loan rate.
Most online credit reports are accurate. However, if you receive a copy of your credit report and there is a decrepancy, call or write the credit report company to get this corrected.