DELRAY BEACH, FL (PRWEB) July 27, 2010
NationalCreditReport.com, a leader in credit report, credit score and credit monitoring services, reminds consumers that there are many things that might seem like a good idea when working to get a good credit score, but consumers should do their research before taking any steps that might cause credit report damage.
“There are some common mistakes that people make when they are working to repair or raise their credit scores,” said Samuel S. Ambrose, Vice President of Marketing and Operations of NationalCreditReport.com. “Things that seem harmless like closing credit card accounts can actually lower your score with the 3 major credit bureaus and affect lending decisions by the financial institutions that obtain your credit report for review.”
The 3 major credit bureaus (Experian™, Equifax™, and TransUnion™) collect information such as bill payment trends, outstanding debt and number of open accounts and use that information to calculate your credit score.
“This seemingly smart move could really cause credit report damage,” said Ambrose.
According to Ambrose, many people attempting to clean up their credit report close longer-standing credit card accounts that they no longer use. Since the 3 major credit bureaus give you points for the length of your credit history, closing a long-standing card could actually hurt you. A better move is to keep that card and use it sparingly to keep it active. Attempt to pay it off in full each month.
Charging too much on one credit card can also make it harder for you to get a good credit score because you’re using a larger portion of the credit granted to you. You don’t want to come close to your limits on your cards. Spread your charges among a few different cards to avoid credit report damage. Set up automatic bill pay if you think you might have trouble remembering to make payments on time.
Another mistake that can cause credit report damage is applying for more credit than you really need. Having many inquiries by creditors can cause your credit score to drop slightly.
Finally, it is not just negative information that can hurt your credit score. Many people make the mistake of not having any or enough credit history. In order to be viewed as a good credit risk by potential lenders, you have to have some proof that you are good at paying your debt on time.
At the company’s website, http://www.nationalcreditreport.com, consumers can sign-up for a free credit score and a free, seven-day trial of its Triple Safeguard Credit Monitoring™ service. The company also offers consumers the opportunity to purchase their credit report and score for one low price with “no strings attached.” Interested customers can visit http://www.nationalcreditreport.com/nostringsoffer to buy their credit report and score without being enrolled in a credit monitoring service.
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 on a regular basis.