Your credit score is one of the most important measures of your creditworthiness. For your FICO® Credit Score, it's a three digit number usually ranging between 300 to 850 and is based on metrics developed by Fair Isaac Corporation. The higher your score is, the less risky you are to lenders. By understanding what impacts … [Read more...]
Managing Your Debt Wisely- Maintain a Low Debt-to-Income Ratio
Your debt-to-income (DTI) ratio compares how much you owe each month with how much you earn. It's a helpful way to understand if you may be taking on too much debt. It's a good idea to try to work toward a DTI of 35% or less, which is the ratio that most lenders consider ideal. Here's how you can calculate your DTI: How to … [Read more...]
Managing Your Debt Wisely: Limit your Debt & Avoid Impulsive buying
Use cash and credit to fund large purchases or projects. For example, use cash to pay for project materials, and a line of credit to pay for labor. What are my options? Before you borrow, ask yourself: Will borrowing improve my situation in the long run or is this an impulse purchase? Could I wait until I can pay … [Read more...]
Managing Your Debt Wisely – Understanding Debt
Learning to manage debt wisely is an important part of reaching your financial goals. The first step is understanding debt and how to use it to your advantage. Here's how to get started. When Is Borrowing the Right Move? Is it “good” or “bad” debt? Invitations to open new credit accounts are everywhere you look ― … [Read more...]
