We’ve all heard the typical advice for a healthy credit score: Pay your bills on time. Don’t max out your credit cards. Don’t close your oldest accounts. But the problem is, this advice is just that: typical. And most actions that lead to great credit health, like making on-time payments, take months or even years of patience.
Student loans are in the spotlight now more than ever. A new report shows that the outstanding student loan debt balance for U.S. consumers is approximately $870 billion, surpassing the nation’s total credit card debt ($693 billion) and auto loan debt ($730 billion).
We’re on a roll in the “Ultimate Guide to Credit Karma” series! First, we covered Credit Karma’s free Credit Report Card and how it gives you insights into which factors are influencing your credit score. Then we moved on to My Accounts, which lists your individual credit lines on your credit report. Today, we’ll cover Credit Karma’s free Credit Simulator, which helps you understand how certain financial actions could impact your credit score.
If credit scores were a subject in school, we here at Credit Karma would ace every test. We spend our days reading up on new credit legislation, updating you on the new credit score rules, and obsessing over credit card rewards. When it comes to writing about credit scores on the Credit Karma Blog, we focus on clarifying credit misunderstandings.
With Valentine’s Day fast approaching, I expect you already have plans because you’re smart, you planned ahead, and you know just the right way to make your honey feel special, right? Good. Glad to hear it. Just make sure you don’t screw it up.
It may be difficult to rebuild rock-bottom credit, but it’s not impossible. We constantly hear of Credit Karma members boosting their scores after several months of belt-tightening and smart credit moves, so if they can do it, so can you!
Credit Karma’s Facebook community members always come up with great credit questions. Sometimes they’re so good, we share the answers here on the Credit Karma blog. This time, the question is about debt, something many of us can relate to.
