Your Credit Score

This is from out latest MoneyMinute. Let me know if you would like future MoneyMinutes emailed to you automatically (about monthly).

October 2009 MoneyMinute – Your Credit Score

By Julie Schatz, CFP(R)

Credit scores. We hear about them all the time, and if you’ve recently applied for a loan then you have felt their importance firsthand.

If you are curious to know more about what seems to be a ‘black box,’ then I recommend this excellent article by Karen Blumenthal at the Wall Street Journal, “Credit Scores: What You Need to Know Now.” This link will take you to the full article:
http://tinyurl.com/yczpcby The link works only for a few days. If you can't access the article, let me know and I will try to gain access for another short period. rich.chambersABC@gmail.com Spam prevention: Remove the ABC from the email address before using it to email to me.

Here’s the 30-second summary on what you can do to enhance your scores:

• Make all payments on time.
• Open as few new accounts as possible.
• Keep old accounts with good payment history open.
• Maintain balances that are less than 50% of credit limits.
  

Today, a good credit score matters more than ever. Lenders are requiring higher scores for their best interest rates, and they’re less likely to lend to borrowers with flawed credit histories. Because of that, treat your credit score like any valuable asset that needs to be monitored and maintained.

A great source for information on credit scores and to obtain yours, go directly to the Fair Isaac Corp. (FICO) website: http://www.myfico.com/.

Lastly, if you are planning to buy or refinance a property in the next six months, then contact us for a referral to mortgage brokers we trust. They can guide you on making your score as good as it can be before the lender checks your credit.