I was talking to my husband about credit cards another day. In fact, I currently don’t have one and I never thought about it. To be honest, I never saw the point of applying for credit cards, since I barely use it, even living in the country for so many years now.
Then, we got to the conclusion that credit cards are not a priority in our lives, but at the same time it’s still useful tools for helping you to build good credit when you don’t know how to start.
Really? With a simple credit card? It seems legit. These also known as entry-level cards are an excellent option for people with low income too. So, I have started researching about easy steps to build a good credit from scratch.
More for curiosity than necessity, I should say.
It’s not surprising to anyone that modern life has demanded to us “prove ourselves” more than ever. It doesn’t matter what your plans are: a short-break trip, a big mortgage, or a simple loan, it’s essential to be stable and reliable enough to be considered a good match financially.
Besides having a credit card, here are other some ways of building good credit quickly:
Keep Track of all your bills
Make sure your monthly bills are paid on time. There is nothing more negative than accumulative debts. It can be a step with no way back when trying to build a personal good credit. Keeping your payments on time is also a better way of organising your finances, anyway. So, don’t mess about with it.
A practical way of doing this is setting up direct debits from your account monthly. Then, you never will have overdue bills to deal with.
Apply for a personal loan
Getting a personal loan is another popular short-term finance solution because it can be done quicker than expected. There are plenty of businesses that guarantee money in your account in 24 hours when applied online.
However, many people still avoid going through this path because of the huge interests that come together with the money borrowed. It’s a practical way of getting credit, since you do research for reliable companies, such Cashlady, with a good reputation in the market.
Keep your (extra) expenses by the book
Less is always more. So, don’t spend more money than you have, even when you just got a loan, or you have an unexpected “free” cash available. Controlling your expenses is a crucial step to keep your good credit. Take notes of monthly expenses or download apps like Mint that is an excellent financial tracker. Check your balance and keep it always on the green!