Having good credit is one of the major aspects on getting approved for a mortgage financing. Below is six tips that will improve your credit situation immensely.
1.Have a minimum two open credit lines
Credit lines are any of the following. Credit cards, line of credits, cell phones, car loans, personal loans, etc. Please note both lines should have a limit of $2,000 of more.
2. Do not Exceed 50% of the limit on credit cards / line of credits
Credit Utilization is a major part of your credit score. If you keep the balance under 50% of the limit you will notice a major change in your credit score.
3.Don’t miss payments
This step is fairly straightforward. Set up automatic payments if you have trouble remembering payment due dates.
4.Don’t get your credit pulled too often
Having your credit pulled frequently by banks, lenders, credit card companies, dealerships, etc. will affect your credit score negatively, don’t get it pulled unless it is necessary.
5.If you do miss a payment, make the payment right away
If for some reason you miss a payment make sure you make it as soon as you catch that you missed it.
6.Never exceed credit limits
Your credit score will take a major hit if you go over credit limits.
If you have any questions about credit scores or would like to apply for a mortgage please visit KidneyMortgage.ca or Call a Kidney Mortgage Team Member at 1-888-594-9473.