Instead of closing your account just leave it open, it doesn’t hurt. If you’re never going to use that credit card again, pay off the credit card or transfer your balance to a card with a lower interest rate and cut it up. You can cancel the credit card once you’ve decided that you’re not going to be needing a loan anytime soon.

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Personal credit Reports include personal information, employment information, payment history, a list of creditors, any bankruptcies you may have or lawsuits.

Since credit reports are what many employers are using now days as a way to gauge one’s personal habits and tendencies, it’s a good idea to check your credit report once a year just to make sure that your report is indeed correct. It’s very important to make sure that your credit report is not only correct but also you want to show that your credit history is consistent and promising.

Here are some general credit report tips.

Some credit report payment history tips:

• Pay your bills on time. Delinquent payments and collections can have a major negative impact on your overall score.
• If you have missed some payments, get current and stay current. Be consistent. The longer you pay your bills on time, the better your credit report.
• Be aware that paying off a collection account will not remove it from your credit report. It will stay on your report for seven years.
• If you are having trouble makings ends meet, consult your credit counselor. This will not improve your report immediately, but if you can begin to manage your credit and pay on time, your report will eventually get better as time progress.

Some positives and negatives that will affect your credit score.

Positives:

• Steady/consistent employment
• Active credit use of few accounts.
• Remember, credit to debt ratio is very important.
• Do not request for new credit cards.

Negatives:

• Late payments
• Missing Payments
• inconsistent employment.
• Multiple credit card accounts
• Small finance loans
• Bankruptcies and Foreclosures

Many people assume that because they have never missed a payment that they have good credit. They are a few minor things that the average person overlooks that could be costing them points. These are all minor things that can be easily and effective taken care of if you know what to look for.

Check out your credit report and see for your self.

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There’s the good and the bad:

When I look at debt, I see it as two kinds of debt. There’s the good debt and the bad debt.

You accumulate good debt when you’re borrowing money for a student loan or for a home. You just have to make sure that you don’t borrow more than you can pay back.

Bad debt is using your credit card to buy things like food, clothes, DVD, etc. This is the easiest way to fall in debt. When you get in the habit of buying things with your credit card, in return you also want to get in the habit of paying it off in full that month.

The general rule is that you don’t want to get in a habit of using your card unless you plan on paying every back that month, this is the fastest way of falling in debt. Here I have gathered 3 general debt management tips.

Debt management tips:

1. Make a budget journal. Most people spend thousand of dollars without too much though as to what they’re buying and that’s why people are surprised at how high they’re credit card is. Get a nice journal and start writing down everything you spend. At the end of the month you’ll know not only how much you spent but also what you bought. This way, you will know what you can cut back on and how much less you want to spend the following month.
2. Pay off your highest-rate debts first. On average, most people have more than one credit card. The key to getting out of debt is to first pay down the balances on credit cards that charge the most interest rate while paying at least the minimum due on all your other debt. Once you finished paying off the highest rate, then start tackling the one next highest.
3. Expect the unexpected. You want to expect the worse can happen at any given time, so start making an emergency account. You want to have enough saved to last you 3 – 6 months of living expenses in case of those emergencies. If you don’t have an emergency fund, a trip to the hospital or damaged car can seriously upset your finances.

If you end up with more debt than you can manage, then you should get some help whether it’s from a professional or someone you know before it’s too late. It may be embarrassing to ask a relative for some help but that’s alot better than ending up with bad credit.

My first credit card had a limit of 2,000 dollars and back then, that was a lot for me. I was really happy to know that I was worthy of being offered a credit card with that high limit. Ever since then, I’ve always been trying to see how much of an increase I can get by calling and asking every 3 months. So I guess in a way, that was one of my motives for wanting to increase my credit score, so that one day I can have a credit card with limit that’s over 20,000.00 dollars. And now that I finally got this limit, I hate to say it but I think I’m going to have to decline it.

So you’re asking why decline the offer I’ve been working so hard for? Well there are plenty of reasons I guess. Here are 5 reasons:

• Accepting this credit card with 25,000.00 might lower my credit score. Although my initial reason to build my credit was to have an enormous credit limit, now I’m looking in to buying a house within the next four years. I need to keep my credit score up so that it will help me get the necessary amount for down payment for the house.
• I already have 3 credit cards and another one is not necessary, especially since I am in the process of getting out of debt from my previous credit cards. Accepting this credit now would be really stupid move for someone whose trying to get out of debt.
• Having high credit limit is not always a good thing. One, it can lower your credit score, and also what if your wallet gets stolen? Then what? The higher the limits your credit cards has, the more damage the person who finds it can do.
• Having that high credit card might just influence me to go out and use that card. Not a good thing.
• I really don’t have the use for it. I’m just happy that I got offered

Anyways, on top of my credit card offer which was going for the rate of 12.15%,I was also offered an auto loan for 50,000.00 at 6.24% and also a personal loan for 3,000.00 at the rate of 11.5%. In total, it comes to a nice grand total of $78,000.00! And although it’s very tempting, I’m not accepting any of this.

Most of us know or have known couple of deadbeat friends or famliy members who has borrowed money and never paid it back. Truth is, friendships and families often break up when a borrower fails to pay back a personal loan. This is why it is very important to make sure there are no misunderstandings when letting your pal borrow money.

There are plently of good reasons for lending money to our good friends and family members. We like to be able to help them out with tough life struggles such as job layoffs, a divorce, health issues, debt issues, rent and the list goes on. Unfortunately, there are times when our good intensions can turn into hard feelings when the borrower fails to pay you back.

Here are some facts:

• According to the money-etiquette survey conducted by Ipsos market research and commissioned by PayPal, 63% of respondents have seen someone skip out on paying back a friend, and 57% have seen a friendship or relationship end because of it.
• We are more likely to lend money to immediate family members (71%) or relatives (57%) than to friends (54%), co-workers (30%) or roommates (20%). Nearly half of us (48%) typically lend $100 or more.
• But getting paid back is another matter — and more than half of us (55%) have been stiffed.

Kim Izzo and Ceri Marsh, authors of “The Fabulous Girl’s Guide to Grace Under Pressure,” say handing over the cash without a repayment plan is a prescription for disappointment.

Here is a guideline to write down when lending money to a friend/family member:

• The loan amount.
• The date of loan.
• The date or schedule of repayment.
• Rate of interest (if any).
• Collateral (if any).
• Both of your signatures.

Keep in mind that there are alternatives for those who cannot pay you back. A fallback plan may be to take it out of trade; babysitting, yard work, painting projects, house cleaning, ect.