Here are common myths about your credit score
More than half of all Americans have a financial New Year’s resolution, according to a survey from the credit bureau Experian.
News Center 7′s Xavier Hershovitz broke down common myths about your credit score.
“Easier said than done sometimes, but the ideas are simple,” said Rod Griffin, the senior director of consumer education and advocacy for Experian.
There are different methods to attacking your debt. Some say the snowball method and others say the avalanche method.
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“You need to do what works for you. You know, the math says that if you’re working on your credit card debt, you should start with your credit cards with the highest interest rates and highest balances,” Griffin. “The math doesn’t lie. But it doesn’t always tell the whole truth either.”
That takes time and can leave you feeling like you have a never-ending mountain of debt. Those being the only methods are a myth.
“You might want to start with a low-balance credit card, paying that in full gives you a sense of accomplishment and keeps you motivated. Then you can roll that payment into the next card and make more progress,” Griffin said.
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You have to know where your credit is to be able to repair it.
“The credit bureaus now provide a free credit report once a week through the annual creditreport.com. You can get three credit reports a week, you could get 156 credit reports a year if you want to at no cost,” Griffin said.
If you scroll through social media, there are a lot of ideas out there on repairing your credit. A lot of them are just more myths.
“They have these ideas that you have to you maxed out your card, and then pay off a lot. That’s not true,” Griffin said.
If you try to time your payment out on a certain day between the statement and the due date to further boost your score Griffin says that’s a myth too.
“Make those payments on time, keep those balances low, know what’s in your report,” Griffin said.
