Delray Beach, FL (PRWEB) October 13, 2010
Although consumers are still putting out their Halloween pumpkins and raking fall leaves, NationalCreditReport.com, a leader in credit report, credit score and credit monitoring services, is reminding consumers that if they start thinking about their holiday spending now, they can prevent credit report damage and perhaps even give their credit scores a boost.
“It’s smart for people to start their holiday shopping early and spread out their expenditures over a few months so that they are not maxing out their cards at one time,” said Samuel S. Ambrose, Vice President of Marketing and Operations of NationalCreditReport.com. “Potential lenders want to see that a person is using their credit cards, but not hitting their limits or overextending themselves.”
In fact, Ambrose notes that utilization of a credit card over several months can help a consumer get a good credit score. “It goes without saying that purchasing gifts a little bit at a time makes it easier to make timely payments,” said Ambrose. “However, many consumers might not realize that holiday spending is a great opportunity to raise their credit score by paying their cards off in full each month. Timely payments are reported by creditors every month to the 3 major credit bureaus and will work in their favor to get a good credit score.”
Even the credit scores of consumers that don’t have major credit cards yet can get a boost because of holiday shopping. Utilizing retail store credit cards is one way that individuals with little or no credit begin building their credit files. Since retail store cards are often easier to obtain, the holidays are an opportune time for consumers to use these cards to begin building their credit files with the 3 major credit bureaus.
“On the other hand, using too much credit when holiday shopping can cause credit report damage, even when the consumer makes timely payments,” notes Ambrose. “Since a credit score is partially derived from the percentage of available credit that is actually used by the consumer, carrying a higher balance can cause that percentage to go up, and potentially drive down a consumer’s credit score.”
Since 2004, NationalCreditReport.com has specialized in providing credit information and credit monitoring services to consumers to help them understand their credit report and score. NationalCreditReport.com encourages consumers to check their credit report from the 3 major credit bureaus on a regular basis.