Most people know that keeping a good credit score is vital to their financial standing. After all, this can make all of the difference being approved or denied a loan in the future. Bob Jain and other authorities on finance can agree, which is why it's important to make note of the biggest myths regarding credit scores. Here are just 3 to make note of, as well as information that can help you debunk them in the future.
"Certain pieces of information impact credit scores." Many people are under the impression that personal information can impact their credit scores. However, companies such as Bob Jain Credit will tell you that they have no impact whatsoever. It doesn't matter what gender you are, what your race is, or what have you. Everyone is on equal footing at the onset; only those who use credit responsibly will gain the upper hand.
"Your partner's credit score will apply to you." You shouldn't make the mistake of assuming that if your score is bad, you can make up for it with your partner's. The reason for this, as supported by Bob Jain CS, is that their score applies to them alone. It doesn't matter how long you've been with this individual, either. Whether you're looking to purchase a car, home, or something else entirely, your own score must be accounted for.
"You can close your account without penalty." If you think that there's no penalty in closing an account you might not use as much, you'd be mistaken. Keep in mind that credit scores have been known to decrease as a result of accounts being closed. This is especially true when you throw in the possibility of higher balances on cards. By being mindful of the accounts that should stay open, your credit score will be better maintained.
Hopefully this information has given you a better understanding of credit scores in general. With every topic, there is a collection of myths that people still believe. The same can be said about credit scores, so it's important to understand how to maintain and even improve yours. The more that you're willing to learn, in this respect, the easier it'll be for you to keep a substantial score that you can be proud of.
"Certain pieces of information impact credit scores." Many people are under the impression that personal information can impact their credit scores. However, companies such as Bob Jain Credit will tell you that they have no impact whatsoever. It doesn't matter what gender you are, what your race is, or what have you. Everyone is on equal footing at the onset; only those who use credit responsibly will gain the upper hand.
"Your partner's credit score will apply to you." You shouldn't make the mistake of assuming that if your score is bad, you can make up for it with your partner's. The reason for this, as supported by Bob Jain CS, is that their score applies to them alone. It doesn't matter how long you've been with this individual, either. Whether you're looking to purchase a car, home, or something else entirely, your own score must be accounted for.
"You can close your account without penalty." If you think that there's no penalty in closing an account you might not use as much, you'd be mistaken. Keep in mind that credit scores have been known to decrease as a result of accounts being closed. This is especially true when you throw in the possibility of higher balances on cards. By being mindful of the accounts that should stay open, your credit score will be better maintained.
Hopefully this information has given you a better understanding of credit scores in general. With every topic, there is a collection of myths that people still believe. The same can be said about credit scores, so it's important to understand how to maintain and even improve yours. The more that you're willing to learn, in this respect, the easier it'll be for you to keep a substantial score that you can be proud of.
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