Some Credit Advice

by criticalhit009

Relax.

This is my number one financial tip for young students, or just young people in general, who want to jumpstart their credit report and build their credit history. Good credit takes time, and you can’t expedite as fast as you think.

For me, I was overzealous, applying for credit cards despite my low income, not to pay off any immediate debts (in fact, I had no plan to use them whatsoever), but to expand my credit portfolio. It backfired. Not only did I not get more lines or credit, my credit scores took a small hit for each hard inquiry on  my credit report. The resulting damage wasn’t that bad, but my impatience for these hard credit inquiries gnaws at me now and then as I wait for them to discharge from my credit report.

Take your time applying for things that will affect your credit score, such as credit cards. Because every credit card you apply for (among other credit-related items) means you will have a hard inquiry on your report, you want to do good research, consider whether you need the product, and apply accordingly with the knowledge you have a good shot at getting the product.

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