Credit this, credit that. There is so much information regarding credit scores out there in society today. Whether it’s marketing for credit repair or credit business platforms in the form of MLM (Multi-level marketing), credit is everywhere. But how much of all of the information out there applies to you?
Can’t fit someone else’s shoe
For starts, I’ll say credit is not one size fits all. This is why I believe it’s very important for everyone who’s interested in building or maintaining their credit score to understand the concept of credit. Without fully understanding how the credit scoring system works, you’ll just because working against time and yourself trying to improve your score.
Its interesting because as you may know, I am the author of a book that’s based on the concept of credit “Strategies to master credit.” When people find out I’m knowledgeable in the area of credit, one of the first things they ask me is if I do credit repair. The answer is always an assured no. Then they’ll inquire about whether or not I have information on how to dispute negative items that are present on their credit report.
Improving your score is more complex than deleting negative items
That inquiry is one of the main dilemmas surrounding credit. Building up and repairing your credit score is much more complex than getting negative items removed from your credit report. Financial institutions still want to see you are capable of making on time payments, paying the right amount monthly, managing your accounts correctly, and being financially sound over an extended period of time. All of those things fall under the concept of credit. It is very important you first learn the concept of credit while attempting to improve your score.
No credit report is identical
No credit report is identical. What are your trouble areas? If there were 3 people in a room with similar scores and they all needed to improve their credit scores, there is a high possibility each individual has different trouble areas that’s holding their score back from being in the good or excellent range. One person’s trouble area might be high or delinquent student loan debt. Another’s may be consumer account delinquencies. The 3rd person’s may be too much consumer debt, a high debt to credit ratio, or too many hard inquiries. All three of them may not have enough credit accounts, or maybe they have too many negative accounts.
Since usually no credit report is identical, it is very important to first understand the concept of credit and secondly apply that knowledge to your credit report specifically. Your first step with attempting to improve your credit score should be learning and understanding the concept of credit.
Check out my book Strategies to master credit for understanding the concept of credit.
Darnell R. McKinnon
Also: In a couple of months there will be an online class taught by me. It will be based on the concept of credit and equip you with everything you need to improve your credit score.