On today's broadcast of Just Ask Nicole LIVE!, I discussed the top 10 resolutions you can make to help get your credit straight in 2008.
If you missed the show, you can catch the replay at your convenience 24-hours-a-day by clicking here.
If you don't have time to listen to the 30 minute segment, you're still in luck! A summary of the show is below.
The top 10 New Year's resolutions to make for your credit in 2008 are...
~~ drum roll please ~~
1. Obtain and review copies of your credit reports.
If you haven't checked your credit reports in a while, this is something you should do right away. Log on to www.annualcreditreport.com to request a free copy of your credit reports from Experian, Equifax, and TransUnion. Don't wait... get them NOW!
2. Correct any errors in your credit reports.
Review your credit reports closely. If you find any errors in your credit reports, work diligently to have them corrected ASAP.
3. Pay down and pay off high-interest, revolving credit card accounts.
Don't carry high balances on high-interest revolving credit cards. That's a BIG no-no! Pay them down and pay them off!
4. Pay more than the minimum amount due on outstanding credit card accounts.
Paying more than the minimum amount due will help you pay your credit card bills off sooner and pay less in interest.
5. Pay all of your bills on time, all the time.
No excuses. Just do it! Create a pay-your-bills-on-time system that works for you and stick to it. And make sure to pay your bills a little early so you don't have to worry about last minute payments not posting to your accounts properly and in a timely fashion. No late fees and penalties in 2008 and beyond!
6. Ask for a credit line increase on your credit cards.
Not so you can shop or take a trip or party! But so you can help boost your credit. If you have a history of paying your credit cards on time, you are in a good position to ask for a credit line increase. The credit line increase will give some extra padding to your credit limit, which will make the amount you have outstanding seem smaller. The credit scoring system likes low balances and low credit utilization. So, having higher credit limits with a relatively low balances will help boost your credit scores.
7. Ask for an interest rate reduction on your credit cards.
An interest rate reduction will help you save money by paying less in interest, and will consequently help you pay off your outstanding balances quicker. Ask for an interest rate reduction on all of your credit cards - even the ones that don't have really hight interest rates.
8. Save some money and establish an emergency fund.
Lots of people have a hard time saving and run into financial trouble by not having a stash of cash to fall back on in case of an emergency or if unexpected expenses arise. So, in 2008, give it all you can to try to save some money and establish an emergency reserve fund. Start small if you have to, even if it's just a dollar month or a dollar a day. Just put some amount aside into your savings on a regular basis, and increase the amount as time goes on. It will add up and accumulate before you know it. Resolve to pay yourself first in 2008!
9. If you're planning on starting a business in 2008, don't use your personal credit to finance your business.
Ideally, you should establish corporate business credit to finance and run your business. Don't put your personal credit on the line, or max it out, for your business ventures. If at all possible, establish corporate business credit in the name of your business without using your personal credit.
[To join the wait-list for the class I teach to help entrepreneurs and small business owners establish and build corporate business credit, click here.]
10. Don't procrastinate.
If you have issues with your credit or finances, it's best to address them right away. Do not put it off. If you try to ignore the matter, you'll still have those same lingering issues later. Don't put off the inevitable, or risk the situation getting worse. Get started correcting your financial blunders NOW! The longer you wait to do something about your credit, the longer it'll be before you get to enjoy the financial benefits that come with having better credit.
[To join the wait-list for the class I teach to help consumers improve their personal credit, raise their credit scores, and correct errors on their credit reports, click here.]
If you resolve to do one, some, or all of these things in 2008, surely by the end of this new year, you'll be able to look back and reflect on the positive progress you've made with your credit and finances.
Make every effort to be in a stronger and better financial position in 2008.
Don't procrastinate... get your credit straight in 2008!
Again... Happy New Year!
