Thursday, October 20th is National Get smart about your credit day.
It’s a day when bankers volunteer to help people learn about developing strong credit.
News 3’s team of Problem Solvers is working to do the same.
With the latest inflation, gas prices, interest rates and more-- your credit could need some help right now.
As household savings dry up -- one expert David Michalek says consumers are taking on more credit card debt to afford price increases seen everywhere. So how do you dig yourself out of that hole? First, find a way to use credit cards more responsibly.
"I know this is easier said than done is pay down those credit card bills, keep them paid off… try to use them as cash if you can or like cash meaning use the card, pay it off every month if you can,” said Michalek.
But what else can you do to help your credit score if it’s suffering right now.
According to Michalek:
- Try and consolidate your debt onto one credit card -- this will lower your risk of missing a payment, and having to pay any interest
- Consider using frequent flyer points to pay off your credit card debt. . As inflation goes up-- the value of those miles will only go down over time.
- Prioritize your monthly bills. Make sure your basics are covered from month to month-- then work on paying at least the monthly minimum on your credit cards, and work up from there.
- If you still feel overwhelmed, there are plenty of credit counseling agencies willing to help put you on the right track-- your bank could be one place to turn to.
National ‘get smart about credit day’ also serves as a good reminder to keep an eye on your credit score-- whether you have a major purchase coming up.
Luckily you have 3 completely free resources available to you.
Right now, until the end of the year-- the three major bureaus: Equifax, Trans-Union, and Experian
are letting you get a free credit report once a week. (link https://www.annualcreditreport.com/index.action)
credit experts say you should check your credit at least once a year.
Financial experts say a *good credit score is around 670 or higher.
If anything on your report seems incorrect, those agencies will allow you to challenge the issue, and they will investigate the problem.
