1. If you spend more than 50% of your credit limit every month, this indicates to the Credit Bureau that you do NOT have enough cash on hand to meet your monthly expenses. This will identify you as a high credit risk and will actually reduce your credit score by 60 - 70 points overnight (Fair
Isaac).
2. If you miss 1 or 2 payments on your credit card debt, the issuing company will skyrocket your interest rate to a whopping 27% -
30%!
3. Out of a random sample of 3 million American consumers (included in Experian's National Score Index), 51% of them have at least 2 credit cards and 14% of them have 10 or more credit cards.
(October
4th, 2007) A credit union in Kansas city called
Boeing Wichita Credit Union has recently launched a new program.
Members of this credit union will be able to take out loans
of up to 20% of their monthly income up to $500 dollars at
an interest rate of 36 percent a year. This differs from payday
loan companies who charge an annual interest rate of around
400 percent.
(March 26th,
2007) A credit union in Kansas city called
Boeing Wichita Credit Union has recently launched a new program.
Members of this credit union will be able to take out loans of
up to 20% of their monthly income up to $500 dollars at an interest
rate of 36 percent a year. This differs from payday loan companies
who charge an annual interest rate of around 400 percent.
It is tough to qualify for a loan with poor credit. To improve your credit you need to pay your debts first. A debt consolidation loan is useful to improve your credit rating. Once your score is high you can get more credit with lower interest rate. So go for debt consolidation to repair your credit and to be debt free sooner.
