THE DO’S AND DON’TS WHEN APPLYING FOR CREDIT
There are many factors that play into applying for new credit. Creditors can be extremely judgemental, which makes sense because you are borrowing their money. There are specific things creditors frown upon as well as actions that they look for when it comes to granting you new lines of credit.
THINGS CREDITORS DISAPPROVE OF-
Bankruptcy
Self-employed
Bad debt to income ratio
Employed in a new business
Moving around a lot
No phone number
Not including a phone number
Unskilled laborers
Excessive credit cards
Foreigners without a green card
Self-employed people who work outside of their home
Only P.O. boxes as their address
Employers without a valid phone number
THINGS TO DO TO GET CREDIT:
Have a checking and a savings account
Apply for secured cards, make the appropriate deposits
Apply for easy consumer credit (furniture, jewelry, or department store cards)
Open a Certificate of Deposit (this can be offered later as collateral) repeat as necessary
Apply for an unsecured credit card using a guarantor who has good credit
Information pulled from:
Notley, S. Credit solutions: Proven strategies to establish and re-establish your credit. The Manning Group
If you ever have questions, contact us - your expert consultants.
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Solutions Team
