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Question:

Credit reports?

If I pay off a credit card in one full payment will that raise my credit score? If I'm late on a payment one time on my credit card, will that one time go on my credit report? What are ways of raising my credit?

Answers:

1) Your credit score will not be raised by a full payment. If you are late then that will affect your credit score . The ways of raising your credit score are to use your credit card more often and make the payments in full before you get interest and charged on them.

2) Generally paying off a credit card is great.. it will raise your score some and show you are careful with the credit you have. 1 late pay (30 days late) will kill your credit score creditors will see that 1 late pay for the next 7 years. The older it becomes, the less it matters. If you only have 1 the new lender is more than likely going to realize it was an oversight and you had forgotten to pay it. Raising your score isn't that hard to do. Every month when you get your groceries, gas and whatever charge it on a credit card. Put back the cash you would have spent for the payment when the time comes. That way you are using your credit and paying it off on time which shows you know how to manage your credit. Do not charge more than you can afford to pay each month. If you pay it off before the new billing cycle there are no interest charges. Pay all of your bills on time and your score will climb.

3) Credit is odd so be very careful. If you apply for credit, your score will actually go down and when you make payments on time, your score goes up. The best way for your credit to go up is to make your payments on time, do not pay the card off in full. I missed a payment of 10 dollars once, ignored it and 1 week later paid off the entire amount on the card. The credit bureau only had the info that I missed a 10 dollar payment. Look after your credit because when you buy a home, the interest rate you get depends on credit. You do not want to have to deal with brokers and otherwise legalized loan sharking. Good luck

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