eSrecdit Common Credit Mistakes You Need To Avoid by John Addison (NAPSA)—Too often, consumers find that it doesn’t take much to damage good credit. For- limit is merely an increased temptation to buy. If your company mon mistakes that, in reality, are not that hard to avoid. Steering clear of them can help to protect yourcredit. 1. Not valuing your credit. Goodcredit is a valuable commodity in today’s economy. Badcredit, thanks. tunately, there are some very com- including a bad credit record, late F ) payments and so on, can create a negative financial profile when you have a legitimate need to Addison borrow. Abusing short-term credit obligations can cause a mortgage lender to reject your application for a home mortgage. 2. Allowing a need for sta- tus to overrule common sense. Most credit card companies now offer a “status” card targeted to a consumer’s desire to have the best notifies you that it’s raising your limit, you can refuse. Simply call or write to say thanks but no 4. Not monitoring your credit. Lenders get a snapshot of your debt repayment history with your credit report and it’s impor- tant you know what they’re seeing. You can review your credit report once a year, free. Know where you stand. 5. Not knowing yourinterest rate and fees. Fees can vary widely among cards. Always make sure you know what the rate and annual fees are before you accept the card. If you have existing cards, check the rate you're paying and if it is high, shop around for a card with a lowerrate. These common mistakes could end up costing you hundreds of dollars and affect how lenders view you. Learn More Financial professionals at of everything. While status cards tend to have higher limits and Primerica have created a guide that can show you how to take highest annual fees—from $75 to $100. The basic card from the a copy of “How Money Works,” write to Primerica, 3120 Breckin- more frills, they also carry the same companywill likely offer the same basic features and a much lower annualcost. 3. Raising credit card limits. If you use credit cards, avoid raising your limit. An increased control of your financiallife. To get ridge Blvd., Duluth, GA 30099. ATTN: Corporate Relations, or call (770) 564-6329. For more information, visit www.primerica.com. e John Addison is co-CEO of Primerica.
