Have you been experiencing harder times than usual? You are not alone. In the wake of COVID-19, many people have been feeling the impact on their financial as well as personal lives. So, what can you do to keep on top of your credit and credit score during this difficult time.

So, How Can Your Credit Score Help You?

When your credit score is good, you have better interest rates, better/faster chance of approval for a loan, higher credit limits, better car insurance rates, easier approval for rental property, and you can even avoid security deposits on utilities.

If you have had a credit or financial meltdown, you may be avoiding credit altogether. However, this is one of the worst things you can do. You need to reestablish your credit to show the credit-scoring bureaus that you have changed how you manage your finances and are currently managing your credit in a responsible manner.

So, Do You Know Your Credit Score?

This is a very important number to know. This score lets you know where your credit stands and what if anything is impacting it negatively. You can get your free credit report from each of the three major credit bureaus (Equifax, TransUnion, and Experian) each year through Annual Credit Report.com. Be sure to dispute any inaccuracies on your credit report. If you have a legitimate dispute, the credit bureau is responsible for investigating and giving you a response.

Steps to Build Your Credit

If you are able, below are some ways to improve your score.

    • Take time to calculate your monthly income each month and make a budget. It may have changed in the wake of COVID-19 and you need to know what your income and expenses are at this point in time.
    • Pay bills on time to build your credit. If you are unable to do this, check with your creditor to see if they have any policies in place to assist those affected by COVID-19.
    • Reduce or eliminate any non-essential expenses. Making small adjustments will save you money to pay down your debt.
    • After reducing your spending on non-essential expenses and sticking to your monthly budget, you will start to see extra money that can be put towards resolving any past due accounts.
    • Use your credit cards wisely! Pay more than minimum every month if you can’t afford to pay it off in full.
    • Don’t be afraid to ask for help! If you are struggling or having any trouble making ends meet, speak with a professional. Our office can go over your unique situation to find what options will work best for you.

Interested in More Information?

At the Law Office of Daniela Romero, we believe in relationships that are based on trust. Before we work together, we would like to get to know you and we would like you to get to know us. We want you to be sure you are the right fit for us and that we are the perfect fit for you. This will allow you to be completely comfortable sharing intimate and difficult details of your case, so we can offer you representation to the fullest extent of the law. Call us today to set up a free consultation.