Simple Steps To Improve Your Credit!

Simple Steps To Improve Your Credit!

A man in a suit walking up a set of white stairs leading toward a white light.

Simple Steps To Improve Your Credit!

Just because something is simple doesn’t mean it’s easy! It’s not easy creating new habits when the old ones seem to be just fine. But when it comes to your credit it may just be those OLD habits that have you tossing and turning in your sleep because of the stress you are under.

Here are examples of simple adjustments you can make, even today that will start to improve your credit, and work well for individuals who want to secure an auto loan:

** Yikes… it’s time to budget!

When you actually take the time to list your monthly expenses against monthly income, it really makes any excessive spending outside of your budget jump out at you! Stop, think, do I really need this … is it in my budget … You will be surprised how this little exercise will create a bit more money than month left.

** Pay your bills first!

Far too often, paycheque comes in and off we go buying things we don’t need, then ouch! It’s time for your cell phone debit payment and you are overdrawn. Deal with monthly expenses first on pay day, then allot yourself some “free” money.

** Knock, knock … creditors calling!

If you have outstanding bills, they don’t disappear if you ignore them … darn it. It’s better to deal with debt pro-actively and call creditors to set up a payment plan. They will work with you more so when you take control, then when you have to start screening phone calls from them.

** Now is not the time to be late!

It’s critical that you pay bills on time, don’t let anything start reporting on your credit bureau as late payment – those affect any future credit just as much as missed payments!

** Organize, organize, organize … yes worth repeating!

Try using an online calendar reminder, or app to keep you from missing payments. Even putting payment reminders as an appointment on your cell is a way to not forget – it’s time to pay, not play!

** Know where your credit sits!

There are free apps to use to check your credit score, and you should try to do so quarterly. This will help you to stay on top of any changes, and if you are actively working on improving your credit, it’s a great feeling to see the results!

** Yes, you are back to an allowance!

It’s time to say bye-bye to most of your credit cards, keep one for emergencies and try as much as possible to use your debit card - hint here have the debit card attached to only ONE account that you add a budgeted amount to monthly!! If the debit won’t go through – YOU ARE OVER YOUR ALLOWANCE!

Over time you will see your credit improve just by making simple adjustments … simple yes, easy no. It takes discipline just like anything worth having!

We can help you with your auto loan too – we want to ensure the vehicle financing will FIT YOUR BUDGET, while meeting your needs. Remember, it’s just a tool that can help you rebuild credit. When you are in a better position to do so, your budget will allow you to spoil yourself with a dream vehicle.

We would love to be part of this transition …. Give us a call.

Anne Kolodynski – Personal Finance Consultant
RightRide Edmonton / Auto Canada

Categories: The Right Advice, Credit, Bad Credit, Tips

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