Clean Up Your Credit Scores: with guest Lisa Myers Part 1

Summary: In this episode of The Perfect Property, Juli St George talks all about credit scores with guest Lisa Myers. Lisa brings over 20 years of experience on the credit side of the mortgage industry and shares her expertise over two episodes.

Credit can be confusing, but it doesn’t have to be! Lisa starts with the basics of what a credit score is and why there are different scoring models. After, she talks about what negatively and positively impacts your credit score. Lisa also goes over how many cards you should have, how car notes and student loans affect your credit, and how and when you should check your credit report. Plus, parents will want to tune in for advice on how to help their teens establish good credit!
 
 

What You’ll Learn: 

·         What is a credit score? (0:40)

·         Why are there different scoring models? (4:46)

·         What negatively affects your credit score? (5:12)

·         What happens if you close a credit card? (7:36)

·         Opening too many new credit cards at once (9:10)

·         Bankruptcy reported on your credit score (10:34)

·         What positively affects your score? (11:22)

·         How many credit cards you should have (13:10)

·         Car notes and your credit (14:12)

·         What should teenagers do? (15:13)

·         When should parents help their teen establish credit? (17:43)

·         Is a prepaid credit card helpful? (18:50)

·         Student loans and credit (20:39)

·         Pulling a free copy of your credit report (22:52)

·         Why you don’t want a lot of inquiries on your credit report (25:00)

Key Points:

“A credit score is pretty simple. It’s basically just a number that’s attached to you that tells lenders whether or not you have the ability to repay a loan, repay a debt.”

“When it comes to FICO, FICO does like to see that you have one credit card open, and preferably a major credit card, so a Visa, MasterCard, Discover, American Express, something like that. So FICO does like to see that you have one of those cards open, but FICO also really looks at how you use that credit card.”

“The majority of your FICO score makeup is made up of anything reporting in the last 24 months.”

“You do have a grace period. So, if your payment is due on the first of the month, if you pay it on the 15th of the month, that creditor cannot legally report you 30 days late so they cannot report a late date to the bureaus.”

“One major credit card is really all that FICO looks at and attaches some negative factor to if you don’t have one.”

“If you’re having to use all five of those credit cards, then yes, your FICO score can be lower than someone that’s only using one or two credit cards periodically.”

 Links: 

Juli’s Email: juli@theperfectproperty.com

Juli’s Phone Number: 404-668-8975 (call or text)

The Perfect Property Website. www.theperfectproperty.com 

https://linktr.ee/julistgeorge