I am trying to improve my credit score and credit file.

5 20
Avatar for francis105d1
2 years ago

I have been trying to improve my credit file and credit score so that I can position myself to get an unforeseen opportunity and because I was also trying to buy Bitcoin with credit which may be a terrible idea, especially if you adhere to the advice never invest what you can't afford to lose and credit lines or buying crypto with credit is a sure way to go broke.

Improving your credit is something you should do regardless of what you may think because you never know when you could need some borrowed money to buy something that could be a deal. If a good deal comes your way and you don't have cash, the best solution will be to borrow, but only if it is a deal that you know you will double your money soon. I am not trying to tell you to buy cryptos using credit cards, just trying to ask you to be prepared with cash, credit lines to get any good opportunity coming your way.

Cryptos are not the only way to make money, and cash is not the only way to buy stuff at a discounted price. Credit cards and lines of credit could fit the bill if you have an opportunity to invest money and earn some profits. Not to mention that you will need good credit to rent an apartment all the time, at least in the US. At least in the US, you need credit for many things and not just borrowing and getting on debt.

It is not easy to have a clean credit file, and you must do your homework and send a letter to the bureaus so that your data is up to date and without any errors. Doing that paperwork takes some time. In my case to delete all the incorrect data took me around two months, but now my credit file has the correct information about myself. Cleaning my data didn't increase my score, but now I know that debtors will have the most up-to-date data on me, which could qualify me much better for my following line of credit.

I am not using credit cards to go and buy all the stuff that my hand can get 0n. I am just opening accounts and leaving them open without closing them, and I am only using the credit cards on stuff that I know I have the money for, and I am only making small purchases to make sure the account doesn't get close. Credit cards can close your account because of inactivity, so making a purchase once in a while will help keep my tabs open.

I am recycling my accounts throughout the year to use at least once a month for each credit card. By to way, as the moment I write this article, I hold twelve credit cards already, so I am using them at least once every three months.

All of that trouble is just if I need a better loan so that I can get on debt with the slightest interest rate that I can get, but don't get me wrong, I have not bought Bitcoin or any other cryptocurrency with my credit cards, pretty much I am just trying to keep my score on the 760 level so that I can position my credit for any eventuality that may come my way.

Not to mention that here in the US, credit is a crucial thing, and by to way is not about using your credit. It is about having a lot of credit but never using it, yet that's how credit works in the US. If you start to use your credit, your credit score goes down, so if you want to spend $1000 in credit, you must have at least $1000 in credit lines; otherwise, your score goes down.

The one thing I have been doing is collecting those sweet welcome bonuses that credit cards give you, which is why I am using credit cards now. I will let you know if, in the future, I get a good opportunity with my credit. Even when I hold 12 cards already, my score is still under the 800 mark, and I am only able to reach 759 points that means that I have to wait for some inquiries to be deleted and lower the usage down to 3% in the total credit utilization.

I own around $500, which is already 10% of my total credit limit, so I must wait for credit cards to give me more credit or reduce the amount I own so that maybe my points get to the 800 level. I am not an expert in credit scores, so it is a guessing game at this point why my account only has 759 and not more. And think the other reason is that I don't have much bigger credit lines that the score is so low, but eventually I will get there, and if the opportunity is not with cryptos, may be actual state could be the next opportunity if any.

Don't go and get crazy with your credit. Be a responsible person and only spne that you can afford to pay within ht e grace period that credit cards offer, and if possible, only use credit cards for their bones and not get in debt ever.

2
$ 7.01
$ 6.96 from @TheRandomRewarder
$ 0.05 from @bmjc98
Sponsors of francis105d1
empty
empty
empty
Avatar for francis105d1
2 years ago

Comments

Can't relate coz I don't have a credit card. Hehe. But it's nice to have one for emergency or urgent matters.

$ 0.00
2 years ago

Right now I am busy trying to explain how the bug on Chivo wallet works and the best solution I could find was to create a video

$ 0.00
2 years ago

Yes, it is only for pay as you go purposes

$ 0.00
2 years ago