Credit history equals your financial reputation
Your credit history equals your financial reputation
By StudentCreditCards.com
Your credit history is pretty much your financial reputation. Lenders use information on how you have handled your financial obligations in the past when determining whether to approve or deny a credit card application. In addition to helping lenders determine if you are credit worthy, your credit report can be reviewed by any company or individual with a legitimate business need.
For example, your credit report can be used to determine your eligibility for an apartment rental, employment, and insurance, not to mention the purchase of a car or home. You should take the opportunity to control your future by understanding responsible money management and learning tips to build and maintain a good credit history.
First of all, keep track of how you are spending your money. Do you ever wonder where it all goes? Try to write down every expenditure for at least one month. Some of the totals may surprise you. Coffee and pizza can really add up! Estimate expenses for any items that did not come up for that month so that you have a complete picture of your average monthly expenses like tuition, rent, utilities, books, insurance, entertainment, membership dues, auto registration, etc.
Next, figure out your net monthly income from scholarships, part-time work, and financial support from family, any thing you can think of. Net income is the amount you end up with after deductions are made.
Now subtract your expenses from your income. If the result is a positive one, then you should consider setting up an emergency fund, paying off debt, and/or saving toward a goal. However, if the result is negative then your spending is exceeding your income, and you should look at ways to either increase your income or trim some non-essential expenses.
What should you trim? The monthly addition of five new CD’s to the music collection! Simple lifestyle changes can make a big difference over the long run. A small daily expense of $3.00 for a snack adds up to a yearly expense of nearly $1100!
Learn more about college student credit cards and credit scores at Student credit cards.com
Student credit cards.com @ March 12, 2008
[...] StudentCreditCards.com wrote an interesting post today onHere’s a quick excerptCredit history equals your financial reputation credit Comments (0) Your credit history equals your financial reputation By StudentCreditCards.com Your credit history is pretty much your financial reputation. Lenders use information on how you have handled your financial obligations in the past when determining whether to approve or deny a credit card application. In addition to helping lenders determine if you are credit worthy, your credit report can be reviewed by any company or individu [...]
[...] Studentcreditcards.com wrote an interesting post today onHere’s a quick excerptCredit history equals your financial reputation credit Comments (0) Your credit history equals your financial reputation By StudentCreditCards.com Your credit history is pretty much your financial reputation. Lenders use information on how you have handled your financial obligations in the past when determining whether to approve or deny a credit card application. In addition to helping lenders determine if you are credit worthy, your credit report can be reviewed by any company or individu [...]