4 Ways to Build Credit

By: Alcides Hoy Jr.

So with the recent economic crisis everyone credit is either falling or staying stagnant. Now everyone is trying to figure out how they could raise it or at least get it out of the bottom tier that most are in. Here are 5 ways that you could build credit and or fix your current credit that might not be in a good economic state:

1. Get a Checking and/or Savings Account- These accounts help credit lenders to see that you have means of stability. Also it allows them to see that you own something that they could collect in the event that you are unable to make payments. In many cases the more money you hold int these accounts, the higher credit lending you will receive.

2. Department Store Card or Gas Card- Usually department stores cards are easier to get and they do not come with as much risk as many major credit cards would. Gas Cards will allow you to be able to pay for gas at a later date but as well build your credit along the way. Try to monitor the number of cards of these types you get because sometimes you could go beyond what you could pay monthly.

3. Gaining An Understanding of Credit Scores- Nowadays many people don't even take the initiative to find out how the credit score system works. In many cases its in your best interest to find out how you can receive the highest credit score possible so that in your favor you could receive highest credit lending.

4. Take Out a Short Term Loan- In these cases lenders get EXCITED to see that you have received prior loans. This shows that your payments are more reliable and that they will almost guarantee their payments every month.