Â· Superman Returns came out this week and I felt it was appropriate to incorporate the comic book feel to my title.
Being Serious Credit is truly powerful:
Â· If used correctly it can help make your life much easier including
o Buying or refinancing real estate
o Earn you rewards for everyday purchased through credit cards
o Lower your Insurance Rates (in case you did not know most insurers are now using your credit rating to help them evaluate you as a property and casualty insurance client
Â· If used poorly it can lead to years of dark days including:
o Trouble setting up utilities, mobile phone service, and insurance
o Higher rates on your home mortgage and auto loans
o Evil rates and fees associated with your credit cards with limited rewards and benefits.
Letâ€™s talk about the Average American and â€œAverage Credit Statisticsâ€ from FairIssaac
Your credit behavior directly impacts your credit score aka FICO score. You have three FICO scores, one for each of the three credit bureaus â€“ Experian, TransUnion, and Equifax
Â· The median FICO score is 723
Â· A top tier FICO score is between 760-850
Â· 700-759 is the next level of FICO scores
Â· Below 700 and you need to get serious about your credit
What makes up your FICO score?
How Does â€œRate Shoppingâ€ Impact your score?
Improving your FICO score
Payment History: 35%
Amounts Owed: 30%
Length of Credit History: 15%
New Credit: 10%
Types of Credit in Use: 10%