In today’s economy, most people are living from paycheck to paycheck. This can put a lot of stress on the family and also for the school going children. The breadwinner ends up getting into so much debt as they make purchases trying to provide a comfortable life for the family.
When the debts pile up, and the creditors come knocking, it can be strenuous for the family. The inquiries by the creditors can adversely affect the credit history of the person involved. The situation gets worse when one has loans with several creditors.
The following four points will highlight the most important tips to know when dealing with creditors:
1. Timely Repayment for Loans
Making on-time payment for the student and car loans go very well with your credit rating. It proves that you are responsible and thereby increasing your credit score.
2. Landlord and Rent
Most house owners do not report your timely payment to credit agencies. If so, it is wise to find a way to be reporting your payment habits to the agencies as it reports positively on your credit.
3. Avoid Opening many Accounts
Every new account puts your credit at risk. First, it shortens your credit history on the account and secondly because every lender will have to pull your credit on every account. It lowers your rating with a few points. This also goes with not closing your existing accounts. It shortens your credit history. For more info about us: http://www.freedomfinancialnetwork.com/our_companies click here.
4. Consolidation Plus
If all the above methods do not work since you are deeply in debt, the next best option is using Consolidation Plus. Consolidation Plus is a company committed to helping their clients repay their existing debts in a friendly manner. Usually, it takes just three simple steps, once you sign up; a representative calls you and explains how their program works. Then you fill out the application for loans consolidation, and after you get the funds, all your loans are settled. The clients are then left making friendly monthly repayment to Consolidation Plus.