Build Your Credit Score While You’re Young
It’s never too early to start.
Obviously a good credit score goes a long way in helping you get things you might otherwise not be able to buy with cash. Without one there aren't many places willing to loan you anything.
Having a great credit score can mean the world for someone without much financial backing by their own means, and it may even help change your life for the better in many ways.
Building a credit score.
If you're young and entering the world of credit for the first time, you may not have much in the way of debt and that's okay. You've probably got a student loan (or five) and maybe one or two other bills that aren't overwhelming your bank account.
You should try to avoid acquiring unnecessary debt as much as possible because it'll only hold you back from being able to gain financial freedom. But what if you can't build your credit score without ever accumulating any debt?
Benefits of having a good credit score
Every single financial institution will have their own standards for what qualifies as a good credit score.
Generally speaking if you are in the 700+ range it means it will be easier for you to secure better rates through your financial institution. This can ultimately save you money or allow you to qualify for more loan options. Having a good credit score also helps negotiate better deals with lenders.
How can you get your credit score?
Whether your credit score falls into the good or bad range, there's plenty that you can do to turn it around. The difference between a good credit score and a bad one could stand in the way of getting the house of your dreams, for example.
If you are just starting out in your career, this is a great time to learn how to manage your finances. Building good credit early on in life can put you in a good position when making large purchases throughout the course of your life.
Ask Credit Health for more advice on how to build your credit score.