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      Nurturing people in the image of God since 1868.                                                                          POB 397/520 Dry Creek Rd./Smithville, TN


Improving Your Credit Score

A spiritual person pays attention to material concerns (Proverbs 10:4).

Do you and your spouse need to borrow money for home improvements? Do you need a credit card with a low APR? A good FICO (credit score) is imperative to secure loans, a low interest rate, and in some cases even reasonable car insurance premiums. Here are a few basic tips to improve your FICO score:

Pay on time. Pay the minimum required as soon as you get the bill, or set up an automatic payment through your bank.

Pay more. Even if you send only $5 more than your minimum payment, you're still technically paying down your debt—which will be reflected on your credit history.

Lower your debt ratio. The total amount of debt on credit cards and revolving accounts divided by the total amount of credit available to you results in a fraction of less than one—your debt ratio. The lower the fraction the better. For instance, owing $5,000 on a $15,000 account puts you in better shape than to owe the same amount on a $10,000 account.

Take time. The longer you've had a card, the higher your credit limit (which helps your debt ratio). That provides a solid credit history. So if you need to cancel a credit card, hang onto the one you've had the longest with the highest limit.

Limit inquiries. Each time a potential lender inquires into your credit history, your FICO score takes a hit. To creditors it may indicate financial difficulties or that you're taking on more debt than you can pay back. —Author Unknown

"He becometh poor that dealeth with a slack hand: but the hand of the diligent maketh rich." —Proverbs 10:4

via House to House, Volume 11, Number 6, Page 4