Getting a free credit report online is the first step towards managing your finances. If you’ve been refused a loan or mortgage in the past, it is particularly important to know your credit score as a poor rating could cause problems when taking out financial products in the future.
It’s not just loans and mortgages that depend upon your credit score; many everyday products such as credit cards and mobile phone contracts are provided subject to a credit check and you may find that these essentials are not available to you if you owe money or have previously struggled to keep up with debt repayments.
Once you know your credit score, you’re ready to look at how to manage your money more effectively. It may be that you are looking to overhaul your finances in order to take out a mortgage or to get a loan for that all important purchase. If your credit score is good, you should be able to access products such as credit cards, loans and mortgages.
If your credit rating is poor, there are a number of things you can do. Firstly, check your file carefully to ensure that you have not fallen victim to a clerical error. Mistakes on your financial records can have a negative impact on your credit score and can prevent you from accessing loans, mortgages and other services, which ought to be readily available to you unless there is a problem.
One of the keys to successful financial management is to make sure that you have the right product. If you’re looking to invest in a new home, it is advisable to seek professional mortgage advice to avoid problems further down the line.
Choosing the right credit card can help build your credit rating. If you have a low credit score, you may need to take out a bad credit credit card. Ensuring that you make the necessary repayments can help to rebuild your credit profile and, with time, you’ll be able to access cards offering better rates.
It’s not just effective borrowing that can help you to make the most of your money. Shopping around to get the best deal on savings accounts will also help boost your finances. Look for accounts offering the best APR and be sure to read the small print carefully before you commit to opening an account.
Whatever your credit score, there are financial products out there to suit you, from mortgages and loans to savings accounts and credit cards, so explore your options thoroughly to make sure you get the best deal.