Keeping a good credit rating is more crucial than ever in this current economic climate, because lending criteria has stiffened substantially.
A credit rating that would a few years ago been thought of as good is now probably not adequate enough to get you approved for a student loan or mortgage or car loan.
And if your credit rating is beneath the mid-700s, you're in all likelihood going to ante up greater interest rates on all of your loans.
Here are a few things that will severely hurt your credit: Having a payment that is late.
It's a fine idea to mail or pay your bills off at the least a week prior to their due date; ten days if at all possible.
Just one delayed payment can dip your credit score by 100 points.
Racking up all of your credit cards to the limit, or even just packing too much debt on them.
Don't charge them to the max; attempt to hold back the amount that you have charged up to no more than 30 or 40 percent of your charge card balance.
Applying for new lines of credit: This will lower your credit score.
Filing bankruptcy.
This will wreak mayhem on your credit scores for up to 10 years.
It's a downright last resort.
Applying for unsecured loans that feature high interest.
Shutting down older lines of credit.
If you must close down a line of credit do so on your more recent credit cards.
Applying for credit cards from department stores.
Although a good credit score is important in today's financial landscape keep in mind that a good score merely means that you bear a lot of debt.
It is certainly not a score that determines your wealth or that you are winning with money.