Increase Your Credit Score By Simply Paying Your Rent

Did you know that the highest expense for most consumers is their "Living Expense." For some consumers, its the mortgage payment, but for most consumers, its their rent payments. In some states, over 72% of the population live in rental properties. Even with most consumers paying monthly rent to live in an apartment, condo, or etc, the problem is that those monthly rent payments are not a part of their credit report........until now.

If your landlord or condo association is not apart of "Rent Track", then its time to get them updated....ASAP! Unlike auto loans, student loans, or credit cards, rent payments DO NOT show up on your credit report. Why you ask? Rental Agreements are not loans or instituted by banks/lenders. This means that since you are not borrowing money and paying it back, there is no one expecting to see or report these payments. This is where the landlord or association comes in. Rent Track's system is simple and easy for everyone to use, understand, and benefit from. Here are a few reasons why you should be a part of the movement.

1. Every time you make a payment for rent to your landlord, you it will show on your credit report as an on time payment. Since 35% of what makes your credit score comes from payment history, your credit score will increase and will continue to sky rocket!

2. Rent Track gives the renter the opportunity to pay online and for your landlord to have direct deposit! This means you can pay your rent from your phone or computer like any other bill.

3. Most younger renters are in the process of building and establishing their credit scores. With Rent Track, this will show future lenders that you can pay large amounts on time and on a monthly basis. Imagine what 12, 24, 36, or 48 on time monthly payments can do to your credit score.

The Bottom Line

Now you know what Rent Track is and how it can help you increase or establish credit history. This platform is not the only one out there, but this company has been featured on many of the major news outlets and publications. For more info on Rent Track, Click Here. 

Calvin Russell Jr is a Certified FICO Professional and the CEO & Founder of Simply Professional Credit Consultation. SP Credit Consultation has helped hundreds of people increase their credit scores, qualify for homes, cars, and lower interest rates with their personal, Step-By- Step Action Plans. Contact us today to learn more or email us at info@gosimplypro.com.

Visit Simply Professional Credit Consultation Online at http://www.gosimplypro.com

Twitter: @gosimplypro

FaceBook: “Simply Professional Credit Consultation” 

The Best Credit Score Tracker Is....

With all of the Credit Score Trackers out there, you want to make sure that you are using the right one. You also want to make sure that you can at least estimate whether your score has increased or decrease and of course.....why it did. Either way, I personally believe that The Best Credit Score Tracker Is Credit Karma!

Credit Karma is the only company I have ever seen that gives you your credit score and report every week for FREE! Keep in mind, the scoring model that Credit Karma uses is called "Vantage 2.0." This model is used by 10% of lenders as 90% of lenders use the FICO scoring model. So why use Credit Karma if only 10% of lenders use it?

1. Daily Updates and Alerts FOR FREE
2. Weekly Report Updates FOR FREE
3. Works on mobile devices
4. Access to Transunion and Equifax Credit Reports
5. Easy To Use

I Credit Karma myself as well! Even though I am fanatic about FICO, when I see an increase or decrease in my Credit Karma App, I know that there will an increase or decrease in my FICO score. I recommend using this app to stay on top of your score until you purchase your FICO score.

  

The Top Three Things That Keep Your Credit Score From Increasing

There are a lot of factors that go into play when a consumer is trying to increase their Credit Score. Overtime, they will notice the score increase and sometimes decrease without knowing the cause. Most consumers get their knowledge about Credit from family, friends, and of course, the internet. While some of this information may be true, some of it is false as well. Lets quickly go over The Top 3 Things That Keep Your Credit Score From Increasing.

1. Payment History. I know, I know. You have heard this a million times and yet some people continue to make late payments. 35% of what makes your Credit Score comes from your “Payment History.” In simple terms, 1 late payment is equivalent to 3 on-time payments. 1 late payment can decrease your Credit Score over 30 points or more! The higher the score, the more it will decrease it. What exactly is a “late payment?” FICO (Fair Issac & Company) defines a Late Payment as a payment that is made 30 days late or more. That means a consumer can have a due date of let’s say 5/1/2015, pay it on 5/12/2015 and it WILL NOT decrease the Credit Score. But, if that payment is due on 5/1/2015 and the payment is made on 6/3/2015, it will be considered 30 days late and it will show as a 30 Day Late Payment on the credit report. In short, never make a late payment.

2. Utilization. This is one factor many consumers don’t know about. 30% of makes your Credit Score come from “Amounts Owed” better known as “Utilization.” Credit Card Utilization is calculated by the balance/limit. For example: If your limit is $1500 and your current balance is $1300, then your utilization is 0.866 or 87%. FICO says to maintain a high credit score, its ideal to keep your utilization between 5%-30%. So using the same limit above of $1500, your score would benefit from the balance being between $75-$500. It’s important to note that consumers with credit scores above 780 or higher, tend to keep their utilization under 7%.

3.  Length Of Credit History. Consumers that have a FICO score of 780 have an average account age of 11 years and the average oldest account was opened 25 years ago! 15 % of what makes your credit score comes from “Length Of Credit History.” This factor shows how long a consumer can keep an account opened with good payment history and a low utilization. Most consumers don’t know that by closing accounts, it affects your credit history by shortening the age length of accounts. Of course, some accounts must be closed and some accounts will close automatically due to non-usage or if a loan account has been paid in full. For example, if you have an auto loan for 4 years and you have paid the vehicle off, then this account has been paid in full and will close itself. This is where the average account age of 11 years would come into play. Another example would be a consumer opening a credit card and keeping that account open for over 25 years and never closing it. Keep in mind, just because the card account is open does not mean you have to use it. Be sure to read your full disclosure for your credit card to find out more about it.

The Bottom Line

Now you know the Top Three Things That Keep Your Credit Score Increasing. Of course, these are the top 3 factors, but there are more factors that would keep your score from increasing such as: Collections, Public Records, Civil Judgments, Charge-Offs, Default Accounts, Wage Garnishments, Tax Liens, Bankruptcies, or Unpaid Child Support.

Calvin Russell Jr is a Certified FICO Professional and the CEO & Founder of Simply Professional Credit Consultation. SP Credit Consultation has helped hundreds of people increase their credit scores, qualify for homes, cars, and lower interest rates with their personal, Step-By- Step Action Plans. Contact us today to learn more or email us at info@gosimplypro.com.

Visit Simply Professional Credit Consultation Online at http://www.gosimplypro.com

Twitter: @gosimplypro (www.twitter.com/gosimplypro)

FaceBook: “Simply Professional Credit Consultation” (https://www.facebook.com/pages/Simply-Professional-Credit-Consultation/313995645315088?ref=hl)

Top 3 Credit Cards For Low Credit Scores

Consumers with low credit scores have a very hard time finding a financial institution to help them rebuild their credit by approving them for a credit card. Many consumers apply at banks that only cater to a certain score range. Usually, consumers with low credit scores require secured credit cards in which a deposit is needed as collateral for the amount borrowed. The top 3 banks that are always looking to help consumers with low scores are as follows.

1. Capital One - This is by far the best bank I have seen in North America. I wish they could pay me as much as I promote Capital One. I say that they are the best bank in North America because they are the only bank that is willing to give consumers with low credit scores access to credit cards with their company. Capital One also offers credit cards to consumers with high scores above 720 and they are very competitive with the likes of Discover, Chase, American Express, and etc. Capital One offers a secured credit card with tier levels that require a deposit but depending on the consumers tier level, they may qualify for a lower deposit amount with higher credit limit. Capital One also allows for the consumer to add up to 5 authorized users at no additional charge! Not to mention, Capital One also finances auto loans, refinance auto loans, and mortgage loans as well.

2. Credit One Bank - Credit One Bank offers a great secured card as well. This bank requires a deposit as well and you can also add more than the minimum deposit needed to obtain a higher credit limit. Consumers can add authorized users to their account but it will require a one-time fee. You can design the card but it will require a fee.

3. First Premier Bank - First Premier Bank is very similar to Credit One Bank. This bank would be a great addition if the consumers score is starting to increase but they are not seeing any other credit card offers from more recognizable banks. Adding this credit card as a second credit card would be a great idea to help increase a credit score. Keep in mind, the fees are much more than most banks so be sure to read all documents before and after the agreement is made to receive the credit card.

As you see, there are many companies out there willing to help consumers rebuild their credit scores by giving them a second chance when most banks would not do so. Consumers should always read the credit card agreements before and after the credit card is received to make sure they are aware of all applicable fees that await them. Simply Professional Credit Consultation is not affiliated with any of the companies mentioned in this post. For more information on how to improve your credit score, please visit www.gosimplypro.com or email us at info@gosimplypro.com.