Interest Interest rates do make a difference. Lenders who offer easy credit, or who aim at borrowers with poor credit histories, make up for taking that risk somehow. They normally do it by charging a higher purchase price for the item and/or by charging very high interest rates.

reditors regard a lack of credit history to be the same as a poor credit history, Why? Creditors want to see a history of how you handle debts. If there is no information upon which to judge you, you are deemed a risk. Not fair, but true. We can help you build your credit history.

There are certain forms of “debt” that won’t help you build or re-establish your credit.

Private loans from a relative or friend. Private individuals are not qualified to report to the credit bureaus.

Loans for cars from small car lots. If you are buying a car, your loan should be through a banking institution so that your timely payments will be reported. If you pay cash monthly to an office or individual, it will never be reported to the bureaus.

Rent. Most apartment rental agencies do not have the time or money to report payments.

Utility payments. Utility payments generally are not reported to the credit bureaus and are basically useless as a form of credit.

It  is important to keep up with your credit score, 90% of people dont know what their scores look like this month. A credit score is important in the financial world. Just like your body, to keep your credit as alluring as possible, you need to have annual check ups. Proactive sleuthing and repair of your credit history can save you a lot of headaches. If you know that you will be applying for a loan, employment, or an apartment, try to find out in advance which credit bureau your lender will be using. Then you can order just that one bureau’s report, rather than buying all three of them, to see if your credit is attractive enough for a loan to be granted and to prevent unnecessary “inquiries.”