Rebuilding Credit Its Not Too Late

Dated: March 28 2013

Views: 675

Rebuilding Credit: It’s Not Too Late   It's true, negative credit items can remain on your credit report for up to 7 years (up to 10 years for public records, such as a bankruptcy, tax lien or judgment). But this doesn't mean that you have to wait 7 to 10 years to begin reestablishing a good credit rating. Because credit scoring models typically lend more weight to your recent activity than to the mistakes you have made in the past, you can change your habits right now and begin reestablishing yourself as a good credit risk for a purchase or refinance loan in just 6 to 12 months.   The following are a few Dos and Don'ts when it comes to rebuilding your credit:   1) Three months prior to securing your mortgage, DON'T apply for, close, or pay off any collections, charge-offs, loans, or other kinds of credit without speaking to your mortgage professional first. Any one of these actions, as innocent as they might seem, could seriously affect your credit score, adding significant costs to your mortgage should your score suddenly drop.   2) If you have any credit card accounts with excellent credit histories, DO use them - but use them strategically. Keep your balances below 30% of their limits for 3-6 months prior to entering into a loan transaction, and use them only for small purchases that you can easily pay off completely at the end of the month. Remember, creditors like to see evidence of stability, so the goal is to keep the good reports coming month to month without falling into the same financial traps that led to credit challenges in the past.   Give us a call at your convenience. Russell Banki 713-480-0889 www.coolhoustonhomes.com We'll be glad to help you in any way we can!
Blog author image

Russell Banki REALTOR® ALHS CNE

Russell Banki ALHS, CNE REALTOR Hite Properties Cell: 713-480-0889 Best Priced Properties Team Montgomery & Harris County TX Real Estate Experts Clients First!Treating the relationship with f....

Want to Advertise on this Site?

Latest Blog Posts

Very Happy Selling Clients In Houston TX

Congrats to our selling clients! Thank you for trusting us to get your home sold quickly! Utilizing our 72Sold program they sold their home for full list price with multiple offers second day on the

Read More

Pristine Home For Sale In Panorama Village

Pristine Home for Sale in Panorama Village! 6 Stone Creek Conroe TX 77304 Do not miss this gorgeous 3373 sqft 4/3.5/3 car garage home in #Conroe on the #golfcourse!Russell and

Read More

Move In Just In Time For The Holidays Pristine 2 Story Home In Conroe TX

6 Stone Creek Conroe, TX 77304AMAZING OPPORTUNITY in this well-loved beautiful GOLF COMMUNITY just north of The Woodlands, close to I-45 w/short commute to IAH Airport & minutes to LAKE CONROE!!

Read More

Unique Find In The Inner Loop Of Houston Texas

                                 

Read More