Submitted by: Tom Dawson
Unless you are one of the chosen few who for one reason or another has all the money they will ever need. There is a good chance that you are going to need to arrange a loan or some sort of finance at some stage.
That is all well and good if you have a good credit score, but it tends to be a little more difficult if you do not.
So how do you make sure that your credit score remains healthy, which will then let you arrange cheap loans at the very best interest rates available?
Following these simple guidelines should ensure that you have no problems when it comes to arranging finance moving forward!
Electoral register: Most lenders like to see that you are registered on the electoral register, and have been consistently since you became eligible to vote. If you are not registered at your current address you should do so immediately.
Pay Your bills on time: Anybody that has taken out some form of finance should make sure that they maintain regular payments at all times. The lenders like to see a healthy payment profile on your credit report; this goes a long way to keeping your credit score where it should be.
Take out a credit card:If you do not have any loans or credit cards currently, you should take out a credit card and use it to pay for your normal living expenses making sure you clear the balance in full at the end of each month. This not only shows prospective lenders a healthy payment profile on your credit report, it also shows them that you are sensible when it comes to managing your finances.
Do not move around too much: Tenants or non-homeowners tend to change address more frequently, which the lenders do not like, they like to see stability. If you are constantly changing address and moving from place to place the lenders are likely to wonder why.
Job stability: Similar to the previous point the lenders love to see stability in every way, this is particularly so when it comes to your job. If you have managed to keep a job for a number of years the lenders are less likely to worry that you may lose your income stream and therefore be unable to meet the repayments.
Save money: If you do not currently own your own home but would like to in the future, it is very important that you save as much money as you can afford to cover the deposit for your new home. The larger the deposit that you have the better the deals that will become available to you when you apply for a mortgage. It also contributes to your overall financial stability picture, portraying yourself as somebody who has sound financial philosophies.
Improve your home: Homeowners who have a mortgage should do what they can to increase the value of their property, by keeping it in good order. This will make it easier for you to access a secured loan using the equity in your property as collateral. A secured loan is an ideal way to raise a larger sum of money at a competitive interest rate.
Following the aforementioned advice will go a long way to improving or maintaining the best credit score that you can, which in turn will give you access to the cheapest loans when you need them most.
About the Author: Tom Dawson is A UK finance expert who can help arrange
cheap home improvement loans
and
secured loans
for any purpose. Visit the site today
Source:
isnare.com
Permanent Link:
isnare.com/?aid=736159&ca=Finances