Boost and Protect your Credit Score
Credit scoring is a
statistical method where the lenders evaluate the credit worthiness of a person
to whom the credit is to be approved. It is usually based on the statistical
analysis of a person’s credit files. And a person’s credit rating is a three
digit number ranging from 300-850. The main contents of the credit score are-
Payment history, amounts owed, years of credit, new credit and types of credit.
It is to be mentioned here that higher credit rating is important. Although it
is not only the main factor for being approved for a loan or credit card, but higher
credit score may provide lower interest benefits to the person willing to take
loan.
For credit scoring,
credit card monitoring is important. To monitor credit card of a person- one
should not be confused. Though it is difficult to detect the theft but they are
identified before escaping. For monitoring credit, one should watch his/ her
bank and credit card statement for any suspicious transaction, scan the financial
accounts periodically that may be weekly or even daily. Nowadays many banks are
providing notification service in case of any online transaction or when
purchase exceeds the credit limits.
Another rational
method for protecting credit card is keeping the credit accounts online and
destroying all relevant sensitive data and papers to restrict the unethical
abuse of the papers and data. A person has the potential right to get his/ her
annual credit report at free of cost. From www.annualcreditreport.com . And for any error in the credit report, one
should inform the relevant agency or authority timely. Consequently, one can
boost and protect his/ her credit score.
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