Seven Things That Can Damage Your Credit Score

Paying off student loans is a top financial priority for many people, but it can be confusing and hard to navigate. Many people don’t understand how student loan debt works or what their options are to reduce their payments. Read this article to learn more about student loans and what options you have to pay them back.

It’s always a good idea to know exactly how much you’re paying every time you use your credit card. What may seem like an innocuous purchase could come back to haunt you down the line after you calculate the interest and other related fees. You should be aware of how much you will have to pay down the road when using a credit card, including how soon you will need to pay it off, the annual interest rate and any other guidelines for using the card. Use this guide to find out how much you’re really paying every time you swipe.

A good credit score generally falls within the range of 670 to 739, while a very good credit score is between 740 to 799. A score that is 800 or above is considered excellent. While it is important to know what is considered a good credit score, there is more to understand regarding credit scoring and how it affects you. Even though it is simply a number, it can make a big difference in your financial life. Therefore, let’s step back a moment and take a closer look at the impact your credit score has on purchases, the factors of a credit score and how to get a good score.

If you’re hoping to get a home loan, auto loan or debt consolidation loan, there’s one important number lenders will want to take a close look at. That number is your debt-to-income ratio (DTI.) Even if your credit report is squeaky clean, your DTI is a good indicator of whether or not you’re overextended and might have trouble with additional monthly debt payments like house or car loans.

If your credit card debt is getting out of control or you’re having trouble making payments, you should consider consolidating your credit card debt. Depending on which route you take, you may be able to lock in a lower interest rate, which will help you pay off your debt sooner. Consolidating your debt will also make it easier to manage, especially if you have an outstanding balance on more than one card. You will only have to make one monthly payment instead of sending money to multiple creditors. There are several ways to consolidate your credit card debt but choosing the right option depends on how much money you have and the current outstanding balance. Some options could leave you with a higher interest and even more debt, so make sure you understand how these changes will affect your finances. Use this guide to learn how to consolidate your credit card debt the right way.

Home equity lines of credit (HELOC) have a wide variety of uses. Read this article to learn more about how they work and how they can help you tackle your next project.

If someone asked you about different types of credit and lending tools, what would you think of first? Credit cards, student loans, mortgages and auto loans would probably come to mind. But what about personal loans? Personal loans are general-purpose credit products that can be used for a multitude of purposes. Whether you’re covering an unexpected expense, big-ticket purchase or home improvement project, personal loans can provide some much-needed financing to help you achieve your goal.

Credit plays an important role in our financial lives and keeping a good score is essential. Avoid these seven things that can significantly damage your credit score.

Struggling with debt? Having a hard time paying bills or keeping to your budget? Worried about bankruptcy? Explore ways to get back on track.

Watch this video to learn more about the differences between credit, debit and prepaid cards.

Watch this video to learn more about how a loan works. Learn the important characteristics of a loan like the principal, interest rate and term length.

Watch this video to learn more about the different types of student loans and what your options are when applying for student loans.