Today I ordered a credit report from all three national agencies to make sure my information was accurate and up to date. My credit score falls into the highest (Excellent) category, which is higher than 70% of the population. Cool beans! I feel all responsible because I’ve always made a point not to carry a balance and I don’t have ANY instances of delinquent payments.
I don’t want to end up like 35% of the population who has credit card debt exceeding $10,000. That’s just crazy! I charge EVERYTHING, but I do it because a) It’s easier to keep track of expenses, b) I have less transactions/payments to balance my bank account, and c) I get rewards and cash back for stuff I buy anyway. But I never spend beyond my means and I always pay off the balance in full every month.
All this info puts my mind at ease. We plan on buying a house in the next year or two and it’s good to know we shouldn’t have a problem getting a home loan.
I always heard it was good to get a balance and then pay it off over an extended time … is this true?
If you did that, you’d just get stuck paying all the interest fees… bleh!
I’m with Nicole – I charge everything and pay it off every month. My parents always, always, always stressed how important perfect credit is and all that fun stuff. I also want a house in the semi-near future and don’t want anything under my control to affect it negatively.