Stay Alert About Your Credit!

Credit card companies are smart and sneaky! You have to be vigilant and make sure that you're paying attention to all of your credit cards. One mistake can cost you thousands of dollars in the long-term. Credit card companies are looking for you to make a mistake and then they'll be able to raise your interest rate. Here are some things to watch out for:

• Don't pay your bills late or try to cut it too close - it may not get processed in time and then it could show up as a RED FLAG on your credit report allowing the credit card company to raise your interest rate.
• Don't pay extra on one bill if you have others coming up that you may not be able to pay on time.
• Work on keeping your credit score as high as possible - having a low credit score will cost you more in your mortgage, car loans, etc.

Whether it's now, 3 months or one year before you plan to buy a home, sit down with a reputable mortgage consultant and have them run a 'tri-merge' credit report on you. That way you can see if there are any discrepancies on your report and it'll also show you what your credit scores are. If they are in the lower range (where you would only qualify for higher interest rates), then this opportunity will give you time to work on improving your credit score, thus allowing you to hopefully qualify for a lower interest rate mortgage.

Now is the time to develop a plan to increase your credit score. If you have more credit cards than you need, then you can systematically wean yourself off the cards and close the accounts over time. But you need a plan to do this. You can't just do it all at once or you'll really mess up your credit score.

If you have any questions, don't hesitate to contact me. I'm here and I'll be glad to help you.

At your service,

Dan