Build Credit History Fast and Easy

Description

This is not a coarse, this is an easy to use and low cost service that use can use to automatically build your credit history and improve your credit score!

Payment history accounts for 35% of your FICO^® Score, the credit score used by 90% of top lenders. Other factors include your credit usage, particularly as represented by your credit utilization ratio, is the next most important factor in your credit scores. Your credit utilization ratio is calculated by dividing the total revolving credit you are currently using by the total of all your revolving credit limits. This ratio looks at how much of your available credit you’re utilizing and can give a snapshot of how reliant you are on non-cash funds. Using more than 30% of your available credit is a negative to creditors. Credit utilization accounts for 30% of your FICO^® Score. How long you’ve held credit accounts makes up 15% of your FICO^® Score. This includes the age of your oldest credit account, the age of your newest credit account and the average age of all your accounts. Generally, the longer your credit history, the higher your credit scores. People with top credit scores often carry a diverse portfolio of credit accounts, which might include a car loan, credit card, student loan, mortgage or other credit products. Credit scoring models consider the types of accounts and how many of each you have as an indication of how well you manage a wide range of credit products. Credit mix accounts for 10% of your FICO^® Score. The number of credit accounts you’ve recently opened, as well as the number of hard inquiries lenders make when you apply for credit, accounts for 10% of your FICO^® Score. Too many accounts or inquiries can indicate increased risk, and as such can hurt your credit score.

As you can see lenders like to see that you have a long history of utilizing credit and paying it back in full and on time. It is the most important factor in determine your credit score. So how do you do develop good credit history? Do you have any credit cards in your wallet or around the house that are not being utilized? Every time you use a credit card and pay it off at the end of the month, the issuing company reports to the credit bureau that you were a good borrower who utilized credit and paid it off in full and on time. This is then added to your credit history. So lets say you have four credit cards each of which has a $5,000 credit limit with a total revolving credit line of $20,000. You use your preferred rewards card for all of your basic everyday purchases such as groceries, gas and clothes. But your other 3 cards are not being utilized. This means every month you have one lender reporting to the credit bureau that you were a good borrower who utilized credit and paid it off in full and on time. Adding one positive entry to your credit history every month. What this service allows you to do is have a small recurring charge that can be automatically applied to your three other credit cards every months. You then log into your card issuer accounts and set these cards to automatically be paid off in full every month. After doing this you will now have have four lenders reporting to the credit bureau that you were a good borrower who utilized credit and paid it off in full and on time every month. Adding four positive entries to your credit history every month automatically and without any maintenance. complete peace of mind. All while only using less then .1% of your credit utilization ratio. You can see how this method is highly scalable and can be used to improve your credit effortlessly.