5 Rules for a healthy Credit Score

I found this article on Yahoo Finance. I agree with this article, but give warning that these rules only apply to those who are committed and have self discipline. Read the fine print on your credit cards.

New rules and regulations have been applied in recent months that constitutes for fees that apply as an annul or even an inactivity fee. I know, I know this is ridiculous, but credit card companies are a business too and they have to make money as well.

I agree with most of the article. We ( my husband and I) have been in the financial business since 98, and people still have the same bad habits as they did when the economy was great. My point is, speaking of credit scores in conjunction with credit cards; creditors are looking for a payment history and how a person uses it. Are you late every month? Do you pay your bills on time? Do you stay within the contracted agreement of a payment plan? Did you pay off the debt? Were you ever 30 days late? Are you overextended (meaning, have you borrowed to much and don't make enough to pay back)? This is what determines a persons credit worthiness or credit score.

Credit cards are a fast way to up a credit score when used correctly as the article suggested. Remember though, used improperly and they burn you too. Credit cards should be used for something you already have the money for. Not emergencies! That is what a savings is for. Think of it like this, would you get a loan at 30% interest on for a new roof or pair of shoes? No of course not! Credit cards are not meant to be used as a loan, but they are great and valuable convenience when you don't want to carry cash or if the bank is closed.

My conclusion: If you are the type of person that has no self control and always wants something new, I would highly advise you not to have credit cards or even one credit card. You would do far more damage to your credit than good. It would take time to correct it too. As for those looking to gain credit, this article had some informative tips that might help you.
Happy Crediting!