Here at Credit Services of America we like to educate our clients on different ways they can start building their credit and improving their score. One of ways we recommend doing this is by obtaining a secured credit card.  Opening a secured card is simple. You will provide the bank with a deposit, usually around $200 or more. The bank will keep the deposit as a form of collateral and will provide you with a credit limit equal to your deposit.

Once open the credit card works like any other. Your payment history, balance and credit limit get reported to the 3 bureaus (Equifax, Transunion and Experian). If you don’t pay your card on time, the bank will use your deposit toward your debt.

There are 3 key rules to follow once your secured card is open. First, make sure to use the credit card every month. The activity being reported will help your score grow. Second, it is very important that you keep your utilization below 10%. Do not max out the limit. If you need to use more of your available balance you will just need to make sure you pay down the usage to below 10% before the close date of your billing cycle. Third, make sure you pay your bill on time EVERY month. Perfect payment history is crucial in maintaining great credit history and shows that you are a responsible consumer.

Here at Credit Services of America we want to keep you informed on the best practices, not just to build your credit but also how to maintain it. We would love to give you more credit tips and advice at your FREE CREDIT CONSULTATION! We then will set up a plan on how together we can help you achieve your dreams!

A Goal without a Plan is just a Wish. Give us a call TODAY at 844-FIX-URCR or click on the following link 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.