How Your Credit Rug is Being Shaken

Posted at 5:07 AM, Apr. 4, 2008

Lenders are turning towards other means to delve into consumer's history.  No longer are traditional methods the only means to assess credit risk for borrowers.  How you pay your rent and utilities will also impact your score, which up until recently, was only used as desperate measures for those with poor credit or lack-there-of.  Other scoring systems are being implemented along with well known FICO to establish a consumer's credit worthiness.

Breakdown of What the Big Guys Are Using

Make sure to keep all your bills current and paid on time.  Even forgetting to pay the cable bill on time can affect your ability to get the best interest rate whether buying a house or a car.  It can even determine whether or not your current credit card holders decide to raise your interest rate or reduce your spending limit.  Remember, your overall debt management can be used against you, even by an unrelated creditor.  Take heed.