When you retire, you no longer have earned income. Many retirees wonder how they can boost their credit score when they no longer work. Having a good credit score helps retirees interested in getting a car loan at a low-interest rate or even buying real estate as part of a plan to downsize. By receiving Christian credit counseling, you learn how to improve your credit score no matter what your age or stage in life. According to an article by fool.com, you never know when you might need a high credit score to qualify for an insurance policy, loan or credit card. If you decide to consolidate your debt as part of a debt management plan, you will likely cease using credit cards until you have paid off all your credit card debt.
Paying bills on time
One way to make sure you pay your bills on time is by setting up automatic bill pay through your bank. You can set up an automatic payment plan for your monthly debt management plan as well. Paying bills on time is one of the keys to improving your credit score. A Christian credit counselor is trained and certified so you know you’re getting accurate and helpful information about debt repayment strategies.
Reviewing your credit report
As you grow older, your credit report has more time to grow as well. Unfortunately, your report could contain multiple errors and inaccuracies. Study your credit report. Experts say one in five credit reports contains errors. Talk to a credit counselor about what your credit report reveals and what action steps you can take to correct and improve.
Paying off small loans
If you have a small car loan or other personal loan, consider paying it off with money from savings or a tax return. Paying off small loans or debt will improve your credit utilization ratio.
Asking to increase your limit
Just because you ask to increase your credit limit doesn’t mean you need to use the extra money. If you still have a job, consider getting your credit line increased to improve your credit score. Keep in mind your credit score will only go up if you don’t actually use the extra credit available.
Another good idea is to hang onto old credit cards even once you pay them off. If you enroll in a debt management plan, you rely on a credit counselor to negotiate a lower interest rate. Closing credit cards often lowers your score. At Christian Credit Counselors, we work with consumers of all ages to help them budget, save, plan and eliminate credit card debt. For more information about boosting your credit score when you are no longer working or while still employed, please contact us.