Good Credit -- Essential for the Prospective Home Buyer

Credit is a funny thing. It can be a useful tool in the hands of an informed individual, or a weight of burden to the unsuspecting. One thing is for certain, you must have a decent credit score to attain a quality mortgage loan.

We speak to hundreds of individuals each month that are in the market to buy property. Unfortunately, many of them have less than desirable credit scores, and because of this, are not able to get prequalified for a loan.

There are numerous reasons for bad credit scores: bankruptcies, late payments, large credit balances, and a host of others. There are many legitimate reasons a person may have bad credit, but frankly, most of the people we talk to have simply made poor financial decisions.

In most cases, bad credit can be easily avoided:

1. On revolving credit card balances, make sure you pay your minimum balance each month. You will even receive a slight credit boost if you pay over your minimum amount, so do it if you can.

2. Avoid "maxing" out credit card accounts. Credit cards are good to have to build your credit, but make sure you keep your spending under control. Preferably, you should be able to pay off any CC balances completely in the same month you spent the money.

3. If you need to make any big purchases, avoid the temptation to place the entire purchase on your credit card. Instead, put money aside each month until you have enough for the purchase. Remember, just because you have a big spending limit on your cards, doesn't make it your money! You have to pay every penny back plus interest!

4. Try to think of a credit card as a tool for building credit as opposed to a tool for buying the things you want. You spend a small amount each month, and pay it off immediately. This will spike your credit score, and keep you out of CC debt.

5. Make sure to pull your credit rating at least twice a year. This will give you a good feel for what your score is, and most credit score reporting services will give you a detailed explanation for why your score is where it is. If you find any errors, make sure you report and resolve them immediately. It can be long and gruesome work to get a negative mark removed from your credit record, but it can be well worth it when it comes time to buy a house.

I hope some of these tips will be helpful for you as you try to be a good steward of your finances.

You may also want to check out these free resources:

www.FamilyCredit.org
www.DebtFreeChristian.org

Justin Smith is the President of the Christian Real Estate Network - http://www.HisMove.com

---

Google News Updated : Fri, 29 Aug 2008 18:25:37 GMT Mayor Melton Advises Public of West Nile Precautions - WLBT-TV Mayor Melton Advises Public of West Nile Precautions WLBT-TV - 57 minutes ago When planning outdoor activities this Labor Day weekend, Jackson residents are encouraged to reduce their risk of contracting West Nile virus by protecting themselves from mosquito bites and removing sources of standing water near their homes. DELAWARE: West Nile virus appears later than usual Bethany Beach Wave West Nile victim's widow ponders his death Newsday Los Angeles Times - eFluxMedia - WSYR - The Olympian all 545 news articles Publ.Date : Fri, 29 Aug 2008 17:28:14 GMT In Lack of Health Insurance Coverage Texas Is First - eMaxHealth.com Ontario Now In Lack of Health Insurance Coverage Texas Is First eMaxHealth.com - 3 hours ago Texas is at the top of the heap again - this time we are the most uninsured state, health care-wise, in the country. Oh wait, being without health insurance coverage is not a good thing, is it? Number of uninsured Americans drops Bizjournals.com Update2: Number Of Americans Without Health Insurance Drops eFluxMedia dBTechno - UT The Daily Texan - Bolingbrook Sun - U.S. News & World Report all 336 news articles Publ.Date : Fri, 29 Aug 2008 15:22:00 GMT Detroit mayor's political future back in court - The Associated Press Washington Post Detroit mayor's political future back in court The Associated Press - 1 hour ago DETROIT (AP) - A lawyer for Mayor Kwame Kilpatrick asked a judge Friday to freeze next week's hearing that could remove him from office, accusing Gov. Judge to decide Tuesday on mayor's bid to halt ouster DetNews.com Hearing under way on suit against Granholm Detroit Free Press Chicago Tribune - Crain's Detroit Business - MyFox Detroit - New York Times all 1,672 news articles Publ.Date : Fri, 29 Aug 2008 17:06:32 GMT Microsoft to Buy Greenfield, Adding European Web Shopping Site - Bloomberg Siliconrepublic.com Microsoft to Buy Greenfield, Adding European Web Shopping Site Bloomberg - 1 hour ago By Phil Serafino and Dina Bass Aug. 29 (Bloomberg) -- Microsoft Corp., seeking to catch Google Inc. in the Internet-search market, agreed to buy Greenfield Online Inc. for $486 million to add Web sites that help consumers find product reviews and ... Survey Says ... Microsoft Is a Smart Shopper Motley Fool Microsoft to buy price comparison website Financial Times BetaNews - Red Herring - Web Host Industry Review - Xconomy all 356 news articles Publ.Date : Fri, 29 Aug 2008 17:24:21 GMT Thai Protest Stops Trains and Planes - New York Times Times Online Thai Protest Stops Trains and Planes New York Times - 54 minutes ago By THOMAS FULLER BANGKOK - Protesters in Thailand ratcheted up their campaign to oust the government on Friday, broadening their occupation to stop trains and block provincial airports, as well as waging an unsuccessful attack on police headquarters ... Thai rioters attack police station Aljazeera.net UPDATE 8-Thai protests hit police HQ, disrupt airports Reuters The Associated Press - guardian.co.uk - United Press International - AFP all 2,319 news articles Publ.Date : Fri, 29 Aug 2008 17:31:31 GMT Evacuations begin in Louisiana - Houston Chronicle Calgary Herald Evacuations begin in Louisiana Houston Chronicle - 1 hour ago By DANE SCHILLER Copyright 2008 Houston Chronicle NEW ORLEANS - About 1000 disabled and elderly residents west of the city are being evacuated this afternoon and New Orleans officials are considering whether to order more people out of the projected ... Video: New Orleans Braces For Gustav CBS Gulf Coast prepares as storm Gustav approaches The Associated Press BBC News - ABC News - Bloomberg - The Swamp - Tribune's Washington Bureau all 4,379 news articles Publ.Date : Fri, 29 Aug 2008 16:56:04 GMT Gustav on the Brink of Explosive Development - Washington Post Telegraph.co.uk Gustav on the Brink of Explosive Development Washington Post - 1 hour ago Over the past 48 hours Tropical Storm Gustav proved it was a survivor, as it withstood difficult journeys over Haiti and Jamaica. Now it may turn into a monster. Video: Gustav Set to Batter Cuba, Enter Gulf of Mexico AssociatedPress Gustav threatens Caymans after swamping Jamaica The Associated Press KIII TV3 - AFP - Voice of America - AccuWeather.com all 5,361 news articles Publ.Date : Fri, 29 Aug 2008 17:05:23 GMT Clickbank Data Feeds Make Money From Home

PARLOT::Ebooks, Scripts, Websites, and more...

Adsense websites

Fixing A Credit Report

Fixing a credit report starts with seeing what's on it.... Read More

Why Americans Find Predatory Lending Offensive

"Menis - the author translates as "indignant rage" - It... Read More

Tired Of Being Broke?...Learn How To Force Banks To Give You Money!

Imagine...obtaining credit that's incredibly easy...opening doors of opportunity you never... Read More

Credit Cards: How To Use Them

Credit cards can be a very quick way of getting... Read More

The Exact Action To Take When You Find Errors In Your Credit Report

There are times when you may be turned down for... Read More

Will Inquiries Lower Your Credit Score?

What are inquiries?When you apply for credit the creditor or... Read More

How to Avoid Credit Card Late Fees

Everyone hates late fees and being late will cost you... Read More

Preventing Credit Card Mess

Credit card debts problem is extremely common today. It is... Read More

The FICO Score Misconceptions

There are many misconceptions about credit scores out there. There... Read More

How Credit Scoring Works

The all important credit score! It determines the amount of... Read More

How did a Thief get my Name? Don?t be a Victim of Identity Theft

How do these people get my name? If you have... Read More

What is Credit Repair and How Can It Help You?

There are millions of consumer credit reports on file from... Read More

Choosing The Best Credit Card To Apply For

Always shop around to get the best deal when choosing... Read More

Dealing With A Collection Agency

Step I - Selecting A Collection AgencySelecting a credit collection... Read More

How to Improve Your Credit Rating

So you got into debt, had problems but you got... Read More

Identity Theft ? Additional Protection for Soldiers on Active Duty

Congress passed the Fair Credit Reporting Act several years ago... Read More

How To Choose Your Credit Card Application

The articles and tips provided on this site are intended... Read More

Building Your Credit History

Today, credit is an indispensable part of our lives. In... Read More

Credit Scoring: What You Dont Know Can Hurt You

You've probably heard the term credit scoring. You may have... Read More

Update Your Computer System With Bad Credit Computer Financing

The moment I placed myself in front of the computer... Read More

5 Killer Steps to avoid Credit Card SCAMS!

In August, 2004, the Federal Trade Commission issued their findings... Read More

Credit Report ? Look Out for Your Debit Report, Too

Most consumers are aware that there are companies that keep... Read More

How Can A Qualified Mortgage Consultant Help Boost Your Credit Scores?

Consumers interested in purchasing or refinancing a home will pay... Read More

10 Simple Steps to Manage Your Credit

By far the greatest invention the banks have ever come... Read More

Identity Theft ? Monitor Your Credit Report

The recent security breach at credit card processor CardSystems Solutions... Read More