Archive for February, 2010
Plan your debt: How to use credit card effectively
Why should I use my credit card? This question has different answers and it is difficult to explain a single answer when many of us have different lives, and for each credit card we use it differently. The reality is that the credit card is a double-edged sword, and if we do not know how to use them properly can result in a situation where we may not want to see. I hope these tips help you identify how to improve the use of credit card and leave a comment at the end of your suggestions or feedback:
If you are using, have a plan to pay.
As Ricardo Arjona says the problem is not that the use … The problem we have is that we use the credit card regardless of how or when we will pay. Before making a purchase, just think how long you take to pay the bill. One card is very timely to buy flights on offer, holiday gifts, etc. If you can pay with a plan, it need not be a problem.
An example: If you spend $ 600 on a new computer and pay with your credit card before you buy thinks like you will pay the computer. You say to yourself / a: I pay in a year! Divide the $ 600 for 12 months, and have the amount needed to pay each month. It is true that this does not take into account the interests, but that’s not the problem, if the person ends up paying the minimum ($ 20) without thinking as to take into pay.
How to remove negative information from my credit?
Negative information regarding your use of credit can remain on your credit report for seven years, information on bankruptcy, 10 years, information on unpaid tax liens, 15, and information about a lawsuit or a decision against her which has not been canceled may remain in the report for seven years or until the statute of limitations expires (whichever is greater). The names of companies that have requested your credit report will remain for two years.
If someone denied credit, housing, insurance or employment as a result of a negative credit report, must give you the name, address and telephone number of the agency that provided the report. If a company denies you credit based on information from credit report under the Act Fair Credit Reporting, you are entitled to request a free report within 60 days.
If your credit report inaccurate or incomplete information appears:
* Contact both the credit reporting agency and with the company that supplied the information to the agency.
* Notify the credit reporting agency in writing the information that you believe is inaccurate.
That means good credit?
When you want a loan from your bank, buy a house or getting hooked on a mortgage always in your head that you have to have good credit. Previously we talked about how your FICO score is made on what model that most lenders use, these are the scores you might have in detail. This score can vary from creditor to creditor, but will give you a good idea where you want your score when you go to apply for credit.
Your FICO score can range from 300 to 850, the higher the better:
720 or more
This score is considered to be excellent. This score will open the door to interest rates the lowest in the market.
Between 680 to 719
Most people have this score. This item is considered very good. If you have this score usually give you a competitive interest rates.
Between 620 to 679
If you are in this category most likely to get approved for the loan, but the terms and rates could be a little high.
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8 Signs that Your Finances are not on Track
We all know the secrets unconsciously have a thriving financial life: spend less than you earn, save for the future, have no debts, but sometimes these things are easier to say them to do them. Although we can not predict our financial future, there are things that could be telling the chronicle of a death foretold.
Here are 8 signs that can help you identify with a little more certainty if your finances are going in the opposite way. The first step to stay afloat is to recognize where the flaws are and where we can improve:
1. Little savings or savings sporadic.
The rule is to have at least 3 months of your expenses necessary in an emergency fund, as well as for retirement and so on. But this is only a symptom, the problem is if you save the time. No matter what the amount, you should save a percentage of your income religiously.
2. Not having a personal budget.
If you do not know what you spend and spend as you may be spending more than they should or have a notional idea of the reality of your finances. Imagine a pilot in an airplane without a compass, radar or map, you’d be flying, but without any direction. Can you reach your destination by luck, but if you use this tool, the target will be closer.
3. Lack of a plan to achieve your financial goals.
We all have aspirations and dreams, we all have financial goals to meet, but the key is to have a specific definition and plan to continue to perform. If not, this was like throwing darts blindfolded. To achieve your goals, you could use the method for idearlas SMART: Specific, Measurable, Achievable, Results, Trackable .
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