Money is often a taboo subject with most people. They will talk about anything of a personal nature with nearly anyone but when it comes to their finances, they are tightlipped on the subject. It’s a strange relationship that most of us have with money; it has a power over us that most of us can’t even seem to understand ourselves. But the fact of the matter is that in order to be in control of our money we need to get our heads out of the sand and act with knowledge instead of secrecy.
My credit report was something that was as private to me as anything else that I kept to myself. I mean obviously I didn’t go around sharing my credit score with everyone I met on the street but when it came to sharing my credit with my fiancé I was still not forthcoming. I don’t know why I felt so protective of it but it probably had a lot to do with the fact that I had been on my own for some time and was accustomed to dealing independently with money.
This obviously had to stop. We were getting married and planned on buying a home together. We had to get on the same page about finances and the first step was to share the good, the bad, and even the ugly with each other regarding our money. We started with each ordering our own free credit reports and sharing the information with each other. It was a great starting off point and allowed us to launch into the conversations that we needed to be having regarding our financial goals, the separation of responsibilities, and how we wanted to go about paying household bills. Free credit reports will continue to be a part of our financial process and will allow us to stay on the same page going forward.
Popularity: 22% [?]
Share This
In the last post I talked about my great excitement when I finally got my first credit card. I felt like I was finally the independent adult that I wanted to be and I reveled in the freedom that the card seemed to bring me. Of course, I was way over my head as are most people of my age when we first have that credit card at our disposal. I spent freely – too freely – and when the payments came due and I realized that I was unable even to afford the minimum payment the panic set in quickly. I was able to finally get caught up on my payments – not that I was getting anywhere quickly in actually paying off the card – but more than that I was completely unaware of the fact that my late payments were being recorded and were affecting my credit report.
My first real understanding of my credit report came from a financial planner that I met with soon after I started my first job. I wanted to be financially responsible and start a savings and investment plan. But he also asked me about my credit report. I didn’t know what my credit score was or even what was on my credit report. It was embarrassing to admit. But the truth was that I was an adult without even a limited understanding of my credit. So I ordered my first free credit report. I came to learn that I was entitled to one free credit report from each of the three credit bureaus and it was up to me to request them – which was easy enough to do online.
Now that I’m in the habit of ordering free credit reports I can’t believe I went all that time without knowing my credit score or the state of my credit report. Now I realize that the day I got my credit card was not the day I came an adult – but I’m making serious strides towards adulthood now.
Popularity: 26% [?]
Share This
When I got my first credit card I was over the moon with the feeling of independence that came from having that piece of plastic in my wallet. I felt grown-up, responsible, and like there were a world of options open to me. It was such a liberating feeling. I wish I could have held on to that feeling for much longer; as I got older and I realized the repercussions of using that credit card and the payments that would keep me up at night, I had a less than enthusiastic feeling about credit cards.
That being said, being a credit card holder has taught me a lot. What came along with having that first credit card was a first lesson about my credit report and the importance of staying abreast of my financial profile. These were not instructions that came with the credit card but something that I technically learned the hard way. I hit some rough patches and had a difficult time making payments; I had some payments that were past thirty days. And while I got caught up on those payments in a relatively short amount of time I never realized that those late payments were making their way to my credit report; the information on which would haunt me for some time.
When I accepted a job in my early years – my first real job – I met with a financial planner to help me make some short and long term goals. He asked me about my credit and I was ashamed to admit that I didn’t know what my credit was like and that I had never ordered a free credit report – something that I didn’t even know was within my right to do. This was my first time I really gave it any thought. More to come in the next post…
Popularity: 28% [?]
Share This
Sometimes the best way to protect yourself is by having all the facts. This is especially true when it comes to financially protecting yourself. We make so many decisions in any given year regarding our money – choosing what we will spend our money on and what isn’t worth it, determining what constitutes as a sound financial investment, putting money away in savings, and more. But even in doing all of this work we often forget to do one of the most important things we can do in protecting our finances – checking our credit report.
You may think of a credit report in terms of its purpose – to summarize our financial history for would-be lenders. One credit report is held by each of three credit bureaus and offers information to those who may be deciding whether or not we are a good financial risk. But what do credit reports offer in terms of protection?
• Foresight. Going through the entire lending process only to discover that you are not qualified to receive a loan because of something that is on your credit report is the worst time to be receiving this information. Everyone should be up to date on their credit report so as not to receive any surprises during lending. Luckily it’s easy to stay on track by ordering free credit reports once a year from each of the credit bureaus.
• Heads up to potential theft. Identity theft has unfortunately become harder to control than ever. With so much of our personal information out there – especially because of the Internet – it becomes difficult to control who has access to things that would ordinarily be confidential. Changes on our credit report can alert us to possible problems.
• Roadmap to the right direction. When we have particular financial goals to meet in terms of improving our credit score our credit report offers the information we need to gage our progress.
Popularity: 24% [?]
Share This
No matter whom you talk to on any given day each person has their own tale of the economy to share. Everyone has been affected in different ways; there are few among us who have not had to deal with economic conditions but the extent and the circumstances differ from story to story. One thing that has come out of all of this economic distress, however, is the so very pervasive feeling that we are lucky to have anything that we get. In some cases this may be true. There are, after all, not a lot of job situations out there but this does not mean that we should be complacent in a situation where we are treated badly and paid terribly for doing twice the work of someone normally in our position. As further example, there are many who believe the deals they are getting from their credit card companies to be something to celebrate even if they don’t deliver any benefit.
Fear has driven many people to believe that they will not get another credit card offer, will not be able to procure another loan, will not get a better mortgage rate, and so they settle for what they are given. Lenders – of all kinds – recognize this fear and they have used it to their advantage as they know that many consumers will not negotiate lower rates for fear of being denied money altogether.
This is simply not the case in most instances. In fact, consumers have far more options than they may otherwise believe. There are many alternatives out there to paying high rates and ridiculous fees. Compare credit cards to make sure you really are getting the best deal due to you; you may be surprised to learn that your credit card deal is actually lacking and by taking a few steps you can make changes that will further spare your pocket book and even improve your credit report.
Popularity: 31% [?]
Share This
Priorities are a big thing for me especially because of how much I am juggling from one day to the next. If I didn’t make myself a priority, for instance, I would never work out or even eat a meal. With so much on my plate I have to put things in an order that makes sense for my lifestyle. This is how I came to finally organize my finances – something that had been difficult for me to prioritize. It only took one moment of sheer panic to understand how important it was to stay on top of my finances – not just the money in the bank but the information that was on my credit report.
One telephone bill from college almost put an end to my car loan. That was how it happened. As a young person just out of college and finally in the work world I was anxious to buy myself my first new car; something befitting of my new “adult” lifestyle. A quick run of my credit report during the financing process, however, revealed a three year old bill that was showing as unpaid and in collections. I had no idea that this outstanding charge existed and was unprepared for what a big deal it appeared to be three years later.
Ultimately I was able to pay the bill and move on (with my new car) but I had learned my lesson to be sure. I had let things slip and had failed to make my finances a priority in my life. From then on I began to order free credit reports so that I could ensure that I would never be caught off guard again. Priorities are signs of importance and my credit report will always be important in my life thus showing a greater respect for my finances.
Popularity: 27% [?]
Share This
