Is your credit score embarrassing? Do you add a few points, when someone asks you about your score? Having bad credit may not be your fault. Your score may be low due to circumstances beyond your control. Your credit score is not written in stone, you must make up your mind to do something about it.
Bad credit can be embarrassing. Especially when others, do not understand why you just don’t finance a certain product or service. You may be taking public transportation to your office everyday. Many of your coworkers simply do not understand why you do not have a car. Nosy and well meaning family members may suggest that you just go ahead and finance a car at the high interest rate. You know that you can afford a car, but do not feel sold on paying such a high interest rate.
Is your apartment bare, or do you have mismatched furniture? You may have thought deeply about financing furniture. Currently you buy takeout every night, because you stove does not work. It is hard to have company over, because your only piece of furniture is your couch and bedroom furniture.
The only thing stopping you from heading down to your local furniture store; is facing yet another rejection. The finance department may accept you, and they may not. To avoid this rejection, you continue to curl up on your couch, where you can feel the springs. You do have extra money in your budget, and have decided to pay for everything in cash.
Paying for day to day living expenses in cash is great. It is a great way to keep track, and make sure that you do not overspend. However, financing certain items can help you do more with the money that you do have. Think of how well your quality of life would improve, if you used your credit to purchase new furniture and a stove that worked properly. Let’s say you paid more than the amount due each month, and avoided extra interest. You now have a great positive credit reference in your home town. The new stove has eliminated the need to buy prepared foods, and your social life has improved because you are not embarrassed to have people over.
The first thing you must do is realize that you need more education to raise your credit score. You must know how to treat the negative items that are shown as blemishes on your credit report. Knowing what to do, can save you time and gain you credit approvals. You are not the only person that has bad credit. Improving on your score is something you should want, to have more choices when opportunities or need arises.