New credit takes up 10% of your overall credit file.

When deciding whether to pay cash or finance, it is important to take into consideration your short- and long-term credit goals. Applying for new credit will definitely put a ding on your points for several reasons. First, your credit Inquiries stays on your file for 24 months. Then, your Length Of Credit history average drops risking your overall score. Also applying for lots of credit in a short period of time, will definitely raise a red flag on your credit file, as this is often a sign of financial trouble or irresponsibility.

Having that said, new credit is NOT a forbidden practice. In fact, new credit could be your ally the more you learn how credit works. Having new credit will help you establish more “good” payment history and help you offset your Amounts Owed average (which makes up 30% of your credit file), just keep your balances under 10% and watch those points grow.

Often, retail stores lure customers to open new credit cards with incentives such as promotional rates, first time purchase discounts, and cash back on selected purchases. Although the process is relatively easy, it is also easy to forget that getting store credit cards put inquiries on your credit file, inquiries that will last for up to 2 years. While store credit cards are very tempting, have a game plan, compare which cards will benefit you the most, and avoid the non-essential ones.

So, whether it’s a bank credit card, store credit card or a retail finance, do not be afraid, with a little bit of homework you can expedite that credit score boost you’re looking for. One, maybe two new credit accounts a year will definitely keep your credit file healthy and improving.

At Credit Services of America, we have your game plan. We specialize in Credit Repair, Debt Settlement, Student Loan Consolidation and Tradelines, all under one roof. Call us now for a free credit consultation and let us help you with your short- and long-term credit and debt goals. We will map out a game plan exclusively for you and your situation and get the results you need. Best of all, we guarantee our services.

A Goal without a Plan is just a Wish. Give us a call TODAY at 844-FIX-URCR or click on the following link com to schedule your FREE consultation and create your personalize plan to achieve your credit and debt GOALS!

*Individual results may vary. Please call for more details and to discuss your own individual situation.