BBB Offers Credit Score Tips

The Better Business Bureau is offering some tips for dealing with credit and improving credit scores.

Better Business Bureau Spokesperson Dottie Callina said that a person’s credit score is something they need to be aware of and understand.

She said the base credit scores typically fall between 300 and 850 and information on a credit report can follow someone their whole life, influencing their ability to make major purchases.

According to Callina, credit scores look at a number of factors, including late or missed payments, which make up 35 percent of a score, the amounts owed, the length of credit history, and the types of credit used.

“A problem with any of these can be a deal breaker in the eyes of a lender,” said Callina.

Callina said there are a number of things people should keep in mind to keep their credit scores healthy.

She said one of those is establishing a credit history.

“If you do not have any credit cards, consider opening up an account, but we tell them to use it sparingly and pay it off when you get your statement,” said Callina. “Someone with no credit history is considered a higher risk than someone who knows how to manage credit.”

Callina said another tip is to avoid maxing out one’s credit.

“It does not make you a credit risk if you have a lot of credit cards,” said Callina. “What they are looking at is how much you have on those credit cards.”

She said other tips include paying on time and keeping up with your credit report, especially before making major buys.