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Consumers are constantly looking for ways to boost their credit scores, though there are many “hacks” out there that don’t actually do much to boost scores. In this article, we want to shed some light on a few credit boosting strategies so you can figure out which ones are legitimate and which ones are a waste of time. Boosting Your Credit Score By Paying Off Loans Early [caption id="attachment_2801" align="aligncenter" width="1023"] Exploring Credit Boosting Strategies[/caption] While it might feel counterintuitive to many, you cannot earn more points on your credit score by paying off your loans early. Nothing gets added…

  Your credit utilization ratio is one of the most important factors you must understand when it comes to your credit. In short, your credit utilization ratio is the debt that you owe to the total credit limit of every revolving account on your report. When it comes to your credit report, your credit utilization ratio can have a major impact. In fact, many aren’t aware that their credit utilization ratio makes up a whopping 30% of their credit score. In essence, if you have a high credit utilization ratio overall, it can drag your credit report down in the…

When it comes to negative information on your credit report, it is worth noting that it can only stay on your report for 10 years max in the case of a Chapter 7 Bankruptcy. In any other case, it can only stay on your credit report for every seven years. That sounds right, right? The credit bureaus are mandated by the Fair Credit Reporting Act, which forces them to remove negative information on a consumer credit report within the span of seven to ten years. The amount of time that certain information takes to disappear completely depends on that information.…

Credit card benefits depend on a lot of factors, though most importantly, they depend on the credit card that you choose to use. To find the one with the best benefits for you, you’ll have to do a bit of research. Today, we’re going to dive in and check out some of the ways in which everyday people benefit from credit cards.   Most Common Credit Card Benefits Here are a few of the most common ways credit card users get benefits: Travel rewards, including miles and points Shopping discounts or credits Promotional cash payments when users reach required spending…

Is it better to use a debit card or a credit card? People often ask us that at Boost Credit 101, though the ultimate answer depends on what benefits or features are most important to you. Let’s dive in and explore the differences between the two so you can figure out the best choice for your needs. How Do Debit and Credit Cards Work? A debit card is linked to a checking account. Whenever a consumer uses a debit card to pay for something, the money is withdrawn directly from your bank. With a credit card, your money isn’t withdrawn…

When it comes to the risk obtained by lenders and consumers, secured credit and unsecured credit are two very different things. Come with us as we explore these two different types of credit and how they can have an impact on your credit score. What Is Secured Credit? Any form of credit that is backed by a physical asset for collateral is what we call secured credit. If you borrow with secured credit and default on your loan, the lender can strip you of your asset to recover the loss they endured. Whenever you take an auto loan out, for…

Unfortunately, credit myths aren’t uncommon. Even people who repair credit often deal with credit myths. In this article, we’re going to explore the top three credit myths in 2021 so that you can better understand your credit and how it works. Myth #1: Credit Utilization Is 30% of Your Credit Score 30% of your FICO score is made up of how much debt you owe, though that is only the general category. The entire piece of the pie is much more complex. Within this category, you’ll find several other metrics, including: ● The total amount of what you owe on…

While credit bureaus are typically pretty thorough in making sure consumers have clean and organized credit files, mistakes can happen. You might find that your credit file is fragmented, duplicated, or mixed up with someone else’s credit file. If you aren’t checking your credit report regularly, this could become a serious problem. However, if you are quick to catch these mistakes, you could end up avoiding one of these devastating downsides.   Lowered Credit Scores If you have large periods of your credit score missing, meaning you have a fragmented credit score, then your credit score might look more sparse…

Credit bureaus are typically pretty good at making sure they only have a single credit report per person. Of course, credit bureaus aren’t immune from making mistakes. Sometimes, you’ll have to deal with fragmented credit files, duplicate credit files, or mixed credit files. While people often use these credit file type terms interchangeably, there are some very notable differences to be aware of. It is important that you are aware of what these terms mean so that you can make the best decision when determining the proper course of action.   What are Fragmented Credit Files? Fragmented credit files are…

Even the slightest bit of debt can feel like a looming and lingering black cloud that you can’t escape. Reclaiming your peace of mind means freeing yourself from debt and freeing up your income. Here at Boost Credit 101, our goal is to help everyday people like you dig themselves out of debt so that they can live financially healthy lives. Here are a few ways that you can work to pay off debt quickly. Reduce Spending When is the last time you looked at your budget? Trying to figure out where you can reduce spending is important to climbing…