Raise your credit limits.

It’s important to be “pro-active” with your credit.  That is why we are going to teach you to do some things that will greatly enhance your credit card knowledge and help with increasing your credit score quickly.

The principles of using your credit cards wisely include using only 45.91% of your credit card limit.  Let me explain why and what this does to your credit score.

Because the credit bureaus determine part of your credit score by how much credit you use, then keeping your credit score below the point of costing you points is where we want to teach you to be.  That point is 45% or less debt to credit limit.

There are thresholds  that increase your credit score and thresholds that lower your credit score.  Some thresholds to remember are this.  Up to 15.89% debt to credit is the same as 0% used to the credit bureaus, plus or minus a few percent.  Over 88.78% is the same as maxing out your credit cards and that is very costly in points on your credit report.

Rule of Thumb – never go above 45% and stay below 15% to keep your credit scores moving even higher.

A trick to use if you need to use the capacity of your credit limit, is to simply raise your credit limit.  Call the number on the back of your credit card and talk nicely to the representative and say this… “Hello, I have a credit limit that is just too low for my needs; I would like to raise my credit limit, is that possible?”  They will then ask you for your credit card number, verify that you are you and then check on your credit to see if you are worthy of raising your limit.

This may work best after at least 4 months of being with Vantage Credit Alliance and the lawyers working to clean up items on your credit report.  Then you have the best chance of your credit card company saying “Yes… how much do you need?”  That is when you say to them… “Oh, could you double it?”

Don’t go overboard if you are not in control of your spending… otherwise… ask for whatever you want.  Now, they may not give you what you ask for but if they double what you already have, then you have instantly increased your credit score, because increasing your limit, just lowered your debt to credit ratio.  AWESOME!!!