Welcome back to #KTQuickTips – Your weekly go-to from your favorite Milton Real Estate Agents!
In episode 153; we discussed five tips on how to boost your credit score.
There are so many reasons why it’s important to make sure you have a healthy credit score, especially in the Real Estate world. You may be shopping for a new house and need that new mortgage, want a line of credit to cover an emergency, want to have renovations done to your house or maybe even buy a new car?! Well, we are here to help!
The first thing you can do to make sure your credit score is strong is simple. Make your payments on time! In this stage of life, you probably have a number of monthly recurring expenses and bills. Setting them up on automatic payments will make sure they are paid on time.
The next thing you want to do is make sure that you are keeping your balances low. Start by tackling the loans or credit cards with the highest interest rates first.
You also may want to make sure you aren’t taking out too many accounts. A lot of big box stores will offer incentives on buying products when taking out their corporate credit card. The short term savings of a 10% discount for using their credit card will quickly be outweighed by negatively impacting your credit. Having excessive open accounts will have a negative impact on your credit score.
Another good tip, if you are out shopping for a new mortgage or a car loan, keep the applications to a very short, closed time frame. That way, it only counts towards your credit bureau as one inquiry versus numerous inquiries if you were doing it over a longer period of time.
Now, last but not least is simply be responsible! Don’t spend more than you can afford, and also, be very cautious when co-signing for friends or family to get loans, because the way that loan is re-paid affects your credit directly.
There you go! There are some tips in order to help you get better rates and better mortgages. If you have any questions or comments, leave them below, and don’t forget to subscribe to your favorite Milton Real Estate Agents on YouTube, follow us on Instagram, and like us on Facebook.
P.S. It’s also a great idea to check your credit score annually – visit equifax.ca
