In the United States today, you could say that a person's credit score is their most valuable asset, even more valuable than their income. You might not think you need a good credit score because you don't want to borrow a lot of money, but a credit score affects many parts of your life. Your credit score affects how easy it is to get a new job, rent a new apartment, change or get a new mortgage, and apply for a credit card. Because of this, your credit score is important and well worth taking care of.
It's a lot easier to keep your credit score high than to fix it. It is also simple to hurt your credit score. You might say that it doesn't apply to you because you've always paid back your loans, but watch out! Not only does how loans are paid matter, but also how they are paid. When you pay late, it hurts your credit history. If you pay with a check in the hopes that you will get paid on time, and the check bounces, you will lose money and hurt your credit score.
Like many things in life, it's not the big problems that will cause problems, but the little things that happen every day. Like most Americans, you have long-term commitments that you know you can keep. But again, you will run into problems along the way, just like most Americans do. Small things, like the cost of a minor surgery or an unexpected car or home repair. In these kinds of situations, hoping that your paycheck will get to your account on time is asking for trouble, and problems can stay on your credit report for up to seven years.
In situations like these, a short-term cash advance, like a faxless payday loan, is the obvious solution. This kind of loan is meant to be paid back after you get paid. The amount you can borrow is between $100 and $500. They are not meant to be long-term loans. Instead, they are just a way to get you to your next paycheck. Because they are short-term, they are usually deposited into your account the next business day. You can now apply for these loans online, without faxing or going to an office, and get an answer within minutes. Be sure to do business with companies that care a lot about their customers' ethics and have prices that are surprisingly low.
With the rise of online payday loans, it's now easy to keep your credit score in good shape. The cost of these loans is low (especially compared to bank fees for late payments or checks that bounce), you don't have to give out too much information to apply, you have a lot of ways to pay them back, and the money is usually in your account the next day.
Using payday loans in a smart way is a better way to protect your credit score than trying to fix it after the fact.
