Financial Credits: Working Towards Fixing Your Credit Score

The first part is getting rid of any outstanding debt that you currently have. The second part is often overlooked but is just as important, and that is raising your credit score.

Many people are in trouble when it comes to their credit health. Excessive overuse of credit cards is one the biggest problems. But it isn’t too late to start fixing the problem. You need a realistic approach but you can get over the bad habits that are keeping you from having good credit.

First Step: Pay It Down

The first step I would take is to start paying off the card with the lowest balance by adding just a bit more every month. Once this card is paid off, then take the amount you were paying to that card and apply to the next biggest card.

Don’t cancel your credit cards once they are paid off! Cut them up but keep the credit cards. The big three credit reporting firms use the amount of available credit you have to determine your credit score.

Keep one card for emergencies, but freeze this card in a block of ice so that you can only use it if you take the time to thaw it out. This will prevent you from making a snap decision and give you some time to adequately reflect on this emergency spending.

Here are some tips that will help you to start saving.

Drive the car less (if you can!) OR buy a smaller car, it will save you a ton of money on fuel/Gas not to mention Insurance and Tax.
Quit the Gym membership and use free exercise mostly like running,swimming,Yoga or walking.
Cut out luxury food items all together or at least keep them to special occasions or weekends.
Cut down on drinking, smoking, junk food, and material spending (i.e clothes, jewellery). If you already have a Nice Black shirt why get another?
Make your own Sandwiches for work. A lot cheaper.
Drink less commercial coffee. Just 1 cup less a day could be $60 to $120+ per month in your pocket. Amazing really!:)
Try to download free information from the internet instead of buying books all the time. It’s an online library.
If you can grow vegetables then grow them. This includes growing herbs and keeping chickens too.
Break down Monthly bills and subscriptions and cut them in half. What are you spending on monthly that you could stop now?
Don’t be drawn into commercial adverts or shops. Walk away and realise what you have just saved money and space.
If you want a particular item let’s say sunglasses and they are $70. Look online first and buy the item for less, that’s what I do.
Check your car yourself, Oil, Water and tyres and you will need less services. Also keep the tyres pumped up as it saves on fuel.
Do you have old video’s or books? Or any items you can throw on eBay? Check the loft you might have an antique you could sell.
Start a small business on the side. (I recommend an Internet Business because of low start up and low overheads!) Learn more Below.
Get rid of Credit Cards and just keep One because they are not money they are debt! Only buy what you can afford.