Only one late payment can affect your score credit. Experian reports that people without any delay or failure in the last year had an average credit score of 759 and consumers with one or more payments late last year had an average of 598. 4.

You charge up too much on one account or many credit cards. If you charge your credit card near the limit, or even charge up some credit cards preferred proportional amounts owed, you may pay more for the privilege. The amount owed on a credit line compared to the available credit is called the proportional amount owed. With a credit card limit of $ 5,000, the score will be higher if less than $ 2,500 owed. Even better is to owe less than a third of the available credit or less than $ 1501. Because less than ten percent of the available balance gives you the best rating possible. In addition, more than $ 4,500 in an account with a limit of $ 5,000 reduces your score considerably especially if you have too many credit cards and other loans with high balances compared to available balances.

5. Its cargo activities indicate a high level of debt-to-income ratio. If the issuer of your credit card is that you have made many new positions, and believe that you are getting in over his head, which can raise your interest rate. Even if this is a temporary situation, like many new homeowners who make many purchases in a single month, companies prey on the unsuspecting owner of the credit card. 6. Open new accounts. Open new lines of credit, especially consumer finance accounts, reduce your credit score and adds notations like “Too many consumer accounts” on your credit report. Once again, your credit card company can take advantage of this to increase your interest rate. Credit cards that start with a low interest rate can jump to interest rates as high as 29.99%, if they find any of these new conditions contained in your credit report. Check your credit card statements closely, see if your credit card provider raised interest rates. If you find that you are paying more than you thought, call your credit card company and ask why. Once you determine the cause, you can work on the problem of credit. Once you have fixed the problem, call back and ask for a reduction in interest rates. Copyright (c) 2005 Jeanette J. Fisher All rights reserved. Jeanette Fisher teaches real estate investment courses at the University of interior design. She became a credit expert to help their students to buy their dream home and multiple investment properties. Jeannette is the author of “Credit Help! Get the credit you need to buy Real Estate” and other books.