Credit scores: Why they are more important than you think and what to do about it
Your credit score isn’t just for getting loans. It plays a role in how much you pay for cars and homes. Landlords may look at your credit score before deciding to rent to you. Bad credit can cause you to pay more for insurance, cellphone plans, internet and cable. It can even determine if you get hired for some jobs. The good news is you don’t have to make a lot of money to have good credit. You just need time, patience and financial discipline.
The most important step to a good credit score is to start thinking about it before you need it. Then, follow these commonsense tips.
- If you have no credit history, start building it by getting a credit card, using it for small monthly purchases and paying it off every month.
- Don’t maintain balances on multiple credit cards. Better yet, don’t keep a balance at all.
- Instead of carrying credit cards with you, keep them some place safe to help avoid unnecessary purchases.
- Pay bills on time. Set up auto-pay with your bank and ask businesses if you can change the due dates of your bills to match your paycheck schedule.
- Don’t apply for credit when you don’t need it. Whenever someone runs your credit history, it can temporarily lower your score.
- Review your credit report every year to make sure it’s accurate. A credit report is offered as part of the Diamond Secure Account at no additional cost.
Help better protect your identity with the Pinnacle Bank Diamond Secure Account
Protecting your identity can help protect your credit score. You can gain added protection with Pinnacle Bank’s Diamond Secure Account. It provides the features of a checking account, plus IDProtect®, our identity theft protection service. Learn more