Home » Credit Management » Protecting Your Credit »
8 Tips To Protecting Your Credit & Identity
Protect your credit and your identity with these 8 easy to implement online credit management tips.
Read the fine print, carefully.
If it is difficult to understand, talk to someone who is familiar with legal-speak. It is easy to forego reading the fine print; it may be because you think all fine print says the same thing, or it is too small or too much to read. This is a very dangerous way of thinking. For example, most credit cards charge an annual fee, transaction fees, or other charges you may not know about unless you read the fine print carefully. It only takes a signature to cause big problems for you or your credit.
Know what your credit report says about you.
You are entitled to one free credit report every year. This way, you can get a clear picture of where your credit stands. It is a good idea to retrieve a copy of each of the 3 credit reports annually: Experian, Equifax and Trans Union. They do not all report in the same way, so obtaining each with their own specific information will give you the big picture. See the helpful links at the bottom of this page to get your credit reports free of charge!
Know what the creditors want to know.
Know that the creditors have specific details about your credit report that they look for before issuing you credit or additional credit. These details may include, but are certainly not limited to any debt that is still due (such as old bills that have not been paid in full), collection agency reporting, late payments, the longevity (length of time) of your accounts or their payment history, and how many accounts you currently retain. They can also look at other items of interest, such as past due taxes and delinquent child support, and judgments or liens held against you. Knowing these details may be the first line of defense for you, should you run into a major situation involving your credit or your identity.
Pay your bills on time, even if it's only the minimum that you can afford.
This online credit counseling tip might seem rather obvious, but many people think it is okay if the payment is "a little" late. This is just not true. Some creditors make the payment deadline at a strange hour of the day, maybe 6:00pm (not necessarily 12am), or on the 30th or the 31st of the month. If these examples are familiar to your situation, and the payment is due at 6:00 pm on a Sunday in February; keep in mind there are only 28 days in February and the most banks are not usually open on Sunday. If handled properly, you will not incur late fees or other fees associated with paying your bill after its due time/date. In addition you won't receive any negative notations on your credit report.
Find out about any grace periods you may be entitled to.
Your credit cards or charge cards may have a grace period allowance. This is the time before they start charging you interest on any purchases you've made. If you are aware of this time, you may be able to make your payment early and keep some of your hard earned money in your pocket, not theirs!
Keep consistent tabs on your budget or in your checkbook register.
Our lives are so busy today that it's difficult to keep track of our expenditures as we go. There are all kinds of widgets out there that try to save us the time, but unless we pay for everything with cash or just one card (which most of us don't), we really do have a heck-of-a-time keeping up. If you're not the disciplined type that can write down every transaction you make throughout the day, keep a little notebook or use your checkbook and slip all of your receipts into it as the day goes on. Once you get home and get settled, record all of the receipt totals in your register.
Don't throw out that garbage.
When you put your garbage on the curb, it is then "abandoned property" (by state law), and can be taken and used by whoever gets their hands on it. If you have personal or sensitive information, such as credit card offers, medical bills, old bank statements, etc; you run the risk of someone using that information against you or to their advantage. It is smart to shred those items that may prove hazardous in someone else's hands - any reputable online credit counseling advisor would agree. Don't give a thief the chance!
Don't wait for things to go bad.
Whether you have good credit that you would like to maintain, you are falling behind on payments, incurring fees that you feel are troublesome, or just simply can not keep up with what is being thrown at you, don't wait for things to go bad (or even bad to worse). This is the perfect opportunity for you to take action to either keep your good credit standing or improve upon it. Call a GFM counselor today to discuss your options. They will be able to help you, whatever your unique situation.
Be sure to check out these helpful online credit resources:
Here are a few of the handy resources used by many online credit counseling service that you can utilize yourself at no cost. Gain a better understanding of your credit and protecting your credit:
- www.annualcreditreport.com - Here you can obtain a copy of each reporting agency (Experian, Equifax, and Trans Union) free of charge. You are entitled to one free report annually, but also may retain updated reports free of charge if you are denied application for credit, employment, or insurance.
- www.ftc.gov - The FTC (Federal Trade Commission) is a very helpful resource when reporting identity theft, reporting fraudulent charges found on your credit report, or just simply locating important information about these and other types of fraud and disputes.
- www.consumer.gov - Another excellent government consumer advocate site to grab more information from.
Please check back often to see new helpful links we will be providing very soon!
Whether you are seeking credit counseling, help with debt management, or are just trying to find the personal finance resources you need, it is definitely a good idea to protect your credit with these credit counseling tips.
