The whole concept of buy now, pay later has helped propel consumerism through every ceiling since the advent of the credit card. Although lines of credit are not exactly new, the credit card gives the consumer a convenient way to open a revolving credit account to spend on whatever they please. However, the rise of credit cards also means the rise of credit card debt, which leads to a downward spiral of financial instability and emotional distress.
That does not mean every new credit card is detrimental though, and with careful planning and responsibility, a new credit card can actually be a blessing upon someone’s credit score and history.
When planning for the future, it’s best to be aware of how credit may affect fiscal opportunities. A young adult fresh out of university may not be thinking about grabbing a mortgage right away, but they will most likely think about getting a new car within the next few years. Having a good credit history now means having financial options in the future.
A new line of credit with a trusted creditor will enable such opportunities, and there are a few benefits you can get along the way. Even if a person does not plan on using the credit card, it will help with his or her overall credit history and score over time.
Every financial institution out there from American Express to Wells Fargo will offer some perks and benefits to new cardholders. This can range from extra points for rewards to special discounts on interest rates. Here are some things to consider when looking to open a new card:
One of the major reasons to open a new credit card, even if it’s not being used, is to help raise your overall credit score. When people sign up for any line of credit, either a credit card or loan, it gets reported to the three credit bureaus (Transunion, Experian, and Equifax). These accounts will stay on a person’s credit history and add or subtract to that person’s credit score.
What this means is that the card account will help raise a score the longer it stays on the report, the higher the limit, and how much debt is on the card; i.e., a high limit, old credit card with no debt will dramatically increase credit score. But that means people need to start opening credit cards earlier to benefit from that good score increase later.
Some credit card companies will even offer free credit history or monitoring services as well, so you can keep track of your credit score over time.
Be sure to shop around and find a credit card that lines up with your spending habits and benefits you the most. Even if you don’t use it a lot, the card will benefit you in the future.
If you have any questions, feel free to give us a call at 877-212-2450!
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The true sign of a business is one that could take your money, but instead tells you the truth that they can't help. I spoke with Sandra on behalf of a friend that had some credit issues and she determined that based on his report, she couldn't help him at this time. This company is wonderful and I would recommend to all friends and family having credit issues.
Thanks again Sandra for your honesty.
I've known Sandra for at least 10 years. She is a phenomenal person to work with and a super hard worker that cares about people. Do not hesitate to work with her and her amazing team. Jeff is wonderful as well!!
Thank you, team Fix Your Credit Consulting you are amazing*****
Sandra is the best she is patient kind knowledgeable and undertaking and provides a judgement free zone no matter how many times you find yourself calling her because life kicked your butt again .
Jeff is also great and super helpful and always is super on top of everything he does and every phone call . I owe them for helping get my life back
When thinking about what I was grateful for over the past year one interesting thing came up as a standout.
Perhaps credit services are not the typical thing to be thankful for at this time of year, and perhaps not for all standard reasons you might expect to hear in a gratitude tribute, but it goes like this...
Sandra is not just experienced and knowledgeable, but also calming in her manner. She was not judgmental and through mutual sharing made me realize things can happen to anyone and not to feel ashamed for inquiring about the subject of credit and all of the 'fun' things that can go along with it etc.
One of the most important things I am grateful for is how she was able to lower my stress level by not only being kind, but also by being respectful and truly understanding.
I am so glad I reached out to get a fresh perspective and get my queries answered on the way to fixing any related issues that need fixing.
Thank you so much again.
