10 Things You Didn’t Know Could Hurt Your Credit – NerdWallet

Having good credit may give you more opportunities, but it doesn ’ t make you invincible. There are all kinds of unexpected ways that your good credit score can go down in a pulse. hera are 10 things you may not have known could hurt your credit score :

1. Just one late payment

You may have found the best credit card for good credit, but if you make flush one payment more than 30 days late, your accredit score may suffer. That ’ second when credit card issuers are likely to notify credit-reporting agencies of your delay, and that can drop your score.

2. Not paying ALL of your bills on time

It ’ second not precisely late payments on credit cards that can affect your credit. late payments on utilities, lease, earphone or loans can have a negative impact deoxyadenosine monophosphate well.

3. Applying for more credit

Every time you ask for credit — everything from applying for a mortgage to a store credit card — a hard credit inquiry is made on your account. Every heavily question affects your credit score, even when you do n’t get approved.

4. Canceling your zero-balance credit cards

even if you ’ ve paid off a credit rating circuit board, hold onto it. Canceling a credit card can hurt your score two ways : It reduces your total citation come, which can raise your credit use proportion. It besides can shorten the age of your credit history.

5. Transferring balances to a single card

Carrying lone one calling card about may be convenient, but transferring your balances to a single menu may not be beneficial to your recognition. Creating one high libra that approaches your recognition limit sends your credit use direction up, which will hurt your grudge.

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6. Co-signing credit applications

Whenever you co-sign with your good credit to help out syndicate or friends with less-than-perfect credit, you take on duty for their debt. If they can ’ thyroxine pay, you ’ ll have to — or your good credit will suffer the consequences.

7. Not having enough credit diversity

Your recognition grudge international relations and security network ’ deoxythymidine monophosphate good made up of your history with one credit card. Having a mix of credit types — revolving and installation — can help your score.

8. Holding high credit card balances

If your balances are creeping up toward your credit limit, it can hurt your good credit. Try to keep your citation utilization proportion around 30 % of your available accredit — and the lower the better.

9. Unemployment leading to missed payments

It ’ s a myth that unemployment claims will hurt your good credit ; not being able to pay your bills will. Talk to your creditors before you miss payments to try to alleviate likely effects on your accounts.

10. Ignoring your credit report

You can get detached credit report information from NerdWallet. manipulation that access to monitor for electric potential errors that could end up hurting your credit score. If you see something that does n’t add up, you can request the in-depth reports you can get annually from the three credit report agencies : Experian, TransUnion and Equifax .

source : https://www.peterswar.net
Category : Finance

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