Your Credit Score: How to Keep it High

Thirteen years ago I listened to my father lecture me about having good credit. It went in one ear and out the other, that is, until I opened my very first credit card in college. Managing one monthly payment followed by monthly utilities at my apartment the next year, helped me realize this "having good credit" thing I've heard about really isn't hard. Among other things in life, I believe achieving a quality credit score sounds harder than it really is. Here are a few tips for those of you who are interested in bettering your future.

1) Obtain a copy of your current credit report. Check to be sure the accounts open are yours. Make sure the information is correct. For example, the report may indicate you owe Macy's $500 when you never opened a Macy's account before. It's important to be sure this is correct since this is the exact report that determines whether you get the new car or home you want.

2) Create a calendar and mark the due dates of each bill. Be sure to pay them and check off when this task is complete. Cell phones now have a function that alerts you when bills are due. If you're ever late on a bill, you're decreasing your chances of getting the loan you need.

3) Open a credit card. Even if you don't intend to use the credit card very often, keep one open. This will show the creditors that you are not a risk because you don't need to maximize your account. It is also important to open a credit card as early as you can. The longer you're a borrower, the better your credit score. Let me rephrase that. The longer you're a borrower in good standing, the better your credit score.

4) Learn about credit scores and how they affect you. Most people don't know how obtaining a quality score can really help you in the future. There are several bank websites that can advise how much money you will save over time, depending on your credit score.

As you take these tips and strive to make your future better, please note that you do not have to have a credit score in the 800 range to be successful. You do, however, need to keep your score at 650 or higher to take advantage of today's great interest rates.

Remember, I was 18 a mere 13 years ago. I know this is not something that interests the younger individuals out there, but if you ever took advice from a stranger today would be a good day to start!