Page 3 - NOV RAP NEWS 2017
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Everyone knows the importance of having a good credit
                                                                         report, but few realize what can affect a credit report or
                                                                         what to do to make it better. Scores range from 300 to
                                                                         850 - the higher the better – with anything above 760 the
                                                                         most desirable.

                                                                         Spending too much of a credit limit will lower your credit
                                                                         score. One point is lost for every percent of a credit limit
                                                                         that is used. Most credit experts say you never want
                                                                         your balance to exceed 30% of your credit limit.

 How to fix it is to pay off everything you can and don’t charge anything for at least 60 days before applying for credit or a
    loan.

 Making late payments should be avoided. An account 30 days past due could cause a 60 point deduction. Late pay-
    ments from years ago that have been paid off have less and less of a negative effect on your score, but could cost you
    15-20 points.

 The best way to fix late payment problems is to pay your bills in full or at least the minimum as soon as they arrive. If
    you are late one month, be certain to pay the required amount the next month.

 Not having a credit score or too few accounts even if you pay on time and in full, can make your credit score lower than
    it would if you have more than one credit account.

 Credit experts advise opening several credit accounts that can be paid off each month. It will raise your credit score
    within three months.

 Conversely it is a problem to have too many credit accounts. Lenders don’t like to see a borrower who has applied for
    many new accounts or loans in a short period. They prefer borrower who have managed the same accounts for years.
    Each time you apply for credit your score can be lowered by five points.

 Avoid applying for loans and credit cards for a few months. Many
    people find errors on their credit report and wonder what to do.
    Order a free credit report once a year from each of the major credit
    bureaus and make certain they are accurate. Order one every four
    months on line at annualcreditreport.com. Contact them if there is an
    error.

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