Keeping Clean Credit
You may have seen the term "clean credit" in reference to loans and credit. Clean credit is a term used to indicate good credit scores and a good credit report. While clean credit means different things to different lenders, in general clean credit means no bankruptcies, no late or unpaid bills, no defaults on loans, no bank problems such as NSF charges, no large current new debts. Most people define clean credit as a credit score of 700 or better. To find out if you have a clean credit, you can order your credit report to see. There are lots of benefits to having clean credit. You will enjoy better interest rates and terms on loans, financing, and insurance. If you have clean credit, you can rest with the peace of mind that comes from knowing that you can get credit if you need it and the confidence that comes from knowing that your financial affairs are in order. If you do run into financial problems, it may be easier to argue for some clemency from lenders if you have clean credit. Getting clean credit is not as difficult as it may appear. To get clean credit, avoid getting out lots of loans. Limit the amount of personal credit and the numbers of credit cards you get. If you are in debt, make your monthly payments on time each month. Today, you can make your bill payments online or even charge all your expenses to your credit card for maximum convenience. Be sure to keep your bank accounts in order by balancing your checkbook. You can now get overdraft protection and other services that will ensure that you get fewer NSF charges. You can talk to your bank's financial officer or advisor for ways to get clean credit. Your bank will have lots of useful tips and advice for keeping your finances in order - and your credit clean. Best of all, banks generally provide this invaluable service for free to customers. If you are already in debt or have poor credit, you can get clean credit by paying your bills - starting now - and by taking out small secured loans that you pay back right away. Good financial habits, over time, are a sure way to get clean credit.