Have you heard these words spoken before? “I use my credit card instead of my debit card because my credit card accumulates reward points. I pay it off every month so what’s the difference?” It SEEMS like a pretty good plan doesn’t it? Turns out there may be a price to pay for those tempting rewards points.


Not only do credit cards cost money to have; annual fees, interest rate charges etc. but they also may ding your overall credit score. Of course you say; that’s the nature of the beast! Fair. But you may not be fully aware of the creature with which you tangle.


For those who heavily use a rewards credit card rather than swiping a debit card to accumulate those appealing awards points typically run a high balance on their accounts. Though the balance may be paid on time and in full, your credit score could be suffering.


Here is where the unfair tradeoff takes place. You receive rewards points and avoid interest fees by paying your balance on time so you should have a fantastic credit score; the credit reporting agencies don’t see it that way. Every lender and credit card company must report the standings of their customers to the three credit bureaus but they don’t all do so on the same schedule, and this is where your score can take the hit.


According to Creditcards.com these reporting cycles are all over the board. For example they say that Wells Fargo, Citi and American Express report the amount reflected on the consumers finalized monthly statement, whereas Chase reports the balance as of the 13th or 14th of each month. Needless to say the close of your billing cycle may not coincide with the credit companies reporting cycles; meaning you may show a high balance before you even have the opportunity to pay it off. A high balance will always, always, always damage your score.


Don’t worry though it’s not hopeless. Armed with this information you can learn to work the complicated system to your advantage. Here’s what you can do:


  • Pay your balance down to 30% or less of your available credit line two or three times a month. By doing this you’ll likely be able to show a universally acceptable credit balance at whatever point your credit company snaps that current shot of your information to send off to the credit bureaus.

  • Proactively call and ask your credit card company when they report to the bureaus. If you are able to procure a solid answer make your payment a week or so before that date. No one says you have to wait to pay your balance until the due date!

  • This one can be dangerous and in some cases a bit of a long shot but you may want to consider asking your card issuer for a credit limit increase. This would give you more of a distance between your balance and your limit reported each cycle. It is important though that this new limit become only your credit score buffer and not your exciting new license to spend more each month.



I was asked today if people with bad credit just rent for the rest of their life....

I had to sit back and think for a second because, I knew 10 Praxis Credit Consulting graduates that started our program with scores of 490’s and filed Bankruptcy who just closed on houses in May 2013 alone! So YEAH the American dream of owning a home is ALIVE AND WELL for those with bad credit!

These were all your friends and family members that everyone seems to know right now – one was living with their in-laws in Mesa, another with his brother in Phoenix. You see the stories on the news all the time.

All of these folks just followed the simple road map that we laid out for them to get to their goals of owning a home.
I have to say when – they told me they couldn’t of done it alone it makes me feel pretty good that we are really helping people.

You can get to your goals as well if you follow these easy steps:
* Know or at least look at your credit score – so you know “if” you can get qualified.

– This way you can correct or address any of the challenges you may have with your Bad Credit.

* Talk to a mortgage professional (not your friend that says he can still do loans) – after you have looked at your score.

– Do this so you know how much of a house you can buy. (P.S let’s not relive all the foreclosures again)

* Then go find your dream house.
– Then you talk with a Realtor (they will be much nicer to you when they know you can qualify to buy a house!)

You can have us help you look at your credit report or do it on your own – but as Nike says “JUST DO IT”. Praxis Credit Consulting does offer a FREE consultation to point you in the right direction – you can decide if you move forward.
IN closing – there are some great deals out there! Don’t waste your money on RENT just because of your credit.

Find Out If You Can Really Own A Home With Bad Credit

Next step to fix bad credit

praxis - click here


As municipal governments increase efforts to collect unpaid parking tickets, dog-catcher fines, library fines and the like, some consumers are seeing a surprising impact—a radical drop in their Credit scores.

To each individual Consumer, the fines in question may be very small and Collection actions may seem petty and unnecessary. For many cities, however, these unpaid fines and fees add up to millions of dollars a year. Those dollars can be collected with little investment by the cities if they’re turned over to private collection agencies.

Private agencies typically charge a percentage of the balance actually collected, so there’s no risk to the government. The risk to consumers who don’t make those payments in a timely manner, however, is significant. That’s because collection agencies report delinquencies to the three major credit reporting agencies. A single collection item can drop your credit score as much as 100 points. Many consumers don’t know that charges like this can affect their credit.

While not all municipalities use private collection firms, the trend is increasing across the country. As government collection activity rises, so does the number of consumers surprised to discover that they’re paying higher interest rates—or being turned down altogether—because the kids lost a library book or they neglected to renew Rover’s license.

If such charges are already appearing on your credit report, you may be able to negotiate their removal in exchange for payment. Getting items removed from your credit report can be a long and stressful process, though, and there’s no guarantee that you’ll be successful. The best defense is to be aware of the risks and make sure you pay those parking tickets on time.

Have you seen your credit report lately?

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About The Author
Tiffany Sanders is an attorney who has published two books. Her articles have appeared in numerous newspapers, magazines, newsletters, and web resources in the United States and Australia. She writes Bankruptcy law news and articles for http://www.totalbankruptcy.com/, where sponsoring attorneys provide extensive consumer information and resources related to bankruptcy filing and rebuilding credit after bankruptcy.


By now, most consumers with even a minimal history of Credit are aware that something known as a credit score has a tremendous amount of influence on his or her financial lives. The score, a distillation of one’s Credit History reduced to a three-digit number between 350 and 850, represents to the world the overall credit worthiness of the individual that it represents.

A score towards the lower end of the scale means that you are a poor risk for a Credit Card or a loan, while a score at the upper end means that you can get the best rates on just about any Type of lending. Despite what you may think, it is possible to obtain a score in the 800 range. All it takes is time and some discipline.

Here are some tips that will help you achieve a top credit score:

# Don’t have too many credit cards. It’s possible to have too few, and it’s possible to have too many. Too few cards means not enough credit, and too many means that you can potentially get into too much debt. Four or so is probably just about right.

# No late payments for the last seven years. Creditors understandably don’t like late payments, and they stick around on your credit report for a long time. Pay your bills on time, even if you are just making the minimum payment.

# Don’t apply for too much credit. A couple of inquiries a year is acceptable, but too many applications for credit in a short period of time can put a dent in your credit score as they make you look too eager or even desperate.

# Make sure that your outstanding balances on your revolving credit accounts do not exceed 30-35% of your available credit. It’s nice to have a lot of credit, but it doesn’t look good if you actually use a lot of it. Keep your balances low. It demonstrates that you are capable of paying your bills.

# Have a long credit history of twenty to thirty years. Sorry, but it’s hard to accelerate this part of the process. Part of what it takes to achieve a top credit score is the ability to maintain credit over a long period of time. A high score indicates a high level of trust and that can be earned only through long experience.

This may seem like a lot of things to do, but none of them are actually very difficult. All it takes to achieve a high credit score is to pay your bills on time, not apply for more credit than you need, not use your cards too often and do it for a long time. It may seem odd, but the more you act like you don’t need credit, the more you will have available to you.

You can have top notch credit scores...

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About The Author
©Copyright 2006 by Retro Marketing.
Charles Essmeier is the owner of Retro Marketing, a firm devoted to informational Websites, including http://www.end-your-debt.com/, a site devoted to debt consolidation and credit counseling.


Marriage is not only the bringing together of two individuals in love who vow to spend the rest of their lives together, it is also a marrying of two credit histories for better or for worse. Asking the betrothed for complete disclosure of credit histories sounds about as romantic as a prenuptial agreement but may be just as important in some cases. In the interest of full disclosure it is well worth it to be aware of the two credit reports which will soon become one.

Having a serious conversation about credit history even going as far as swapping credit reports before the vows are read may be a make or break deal in the engagement. Like it or not, the three credit bureaus track every facet of an individuals credit history, this includes any joint accounts as well as accounts where one may only be an authorized signer. Whether the accounts are within your ability to pay the bills on time are of no consequence to creditors or the credit rating agencies and whether these items are positive or negative factors on your credit report likewise makes no difference.

If upon finding out that the lovely bride or dashing groom to whom you are engaged has horrifically bad credit, there are ways to protect your own credit the best you can ahead of time. The best way to go about this is to keep all accounts separate until the betrothed is able to restore positive credit, this includes adding one another as an authorized signer. Additionally, there are states within the U.S. considered Community Property States that consider accounts and property acquired prior to marriage sole property of the respective bride or groom throughout the marriage.

It is better to at the very least be aware of the bad credit you may be marrying ahead of time. Financial disagreements are the leading cause of divorce these days and while it may seem that love will conquer all now, it won’t qualify the two of you for that new home to begin your growing family.


I Married Bad Credit..

Next step to fix your spouse's credit report.

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