John Beckett's Real Estate Blog

A Birth Certificate shows that we were born.  A Death Certificate shows that we died. Pictures show that we lived!  Have a seat . . . Relax . . . And read this slowly.

I Believe…
That just because two people argue,
doesn’t mean that they don’t love each other.
And just because they don’t argue,
doesn’t mean they do love each other.

I Believe…
That sometimes when I’m angry I have the right to be angry,  but that doesn’t give me the right to be cruel.

I Believe…
That we don’t have to change friends if
we understand that friends change.

I Believe…
That no matter how good a friend is, they’re going to hurt you every once in a while and you must forgive them for that.

I Believe…
That true friendship continues to grow, even over the longest distance.
Same goes for true love.

I Believe…
That you can do something in an instant
that will give you heartache for life.

I Believe…
That it’s taking me a long time
to become the person I want to be.

I Believe…
That you should always leave loved ones with
loving words. It may be the last time you see them.

I Believe…
That you can keep going long after you think you can’t.

I Believe…
That we are responsible for what
we do, no matter how we feel.

I Believe…
That either you control your attitude or it controls you.

I Believe…
That heroes are the people who do what has to be done when it needs to be done, regardless of the consequences.

I Believe…
That money is a lousy way of keeping score.

I Believe…
That my best friend and I can do anything, or nothing, and have the best time.

I Believe…
That sometimes the people you expect to kick you when you’re down, will be the ones to help you get back up.

I Believe…
That maturity has more to do with what types of experiences you’ve had, and  what you’ve learned from them…..and less to do with how many birthdays you’ve celebrated.

I Believe…
That it isn’t always enough to be forgiven by others.
Sometimes, you have to learn to forgive yourself.

I Believe…
That no matter how bad your heart is broken the world doesn’t stop for your grief.

I Believe…
That our background and circumstances may have influenced who we are, but we are responsible for who we become.

I Believe…
That you shouldn’t be so eager to find
out a secret.  It could change your life Forever.

I Believe…
Two people can look at the exact same
thing and see something totally different.

I Believe…
That your life can be changed in a matter of
hours by people who don’t even know you.

I Believe…
That even when you think you have no more to give, if a friend cries out to you……..you will find the strength to help.

I Believe…
That credentials on the wall do not make you a decent human being.

I Believe…
That the people you care about most in life are taken from you too soon.

If your primary goal is maintaining your credit scores, you should leave that extra card open — but not unused. Based on the list of cards in your wallet, I’d guess the card with zero activity is one you keep in case of emergencies. Having an emergency card is a smart move, since that plastic could come in handy when an unexpected event catches you without enough cash. Therefore, unless that extra card is causing legitimate problems – such as charging you an annual or inactivity fee, causing excessive temptation to spend or posing identity theft concerns – there probably isn’t a good reason to close that account. After all, a zero balance on a credit card account won’t hurt your FICO score, but closing an account could. If your card remains unused, however, the bank may cancel it for you. That’s because eventually the card issuer will close the account due to inactivity, because keeping the account open costs the lender money. In recent months, lenders have become eager to close accounts in an effort to protect their profits. Alternately, the card issuer could begin demanding that the consumer charge X amount to keep it open.Regardless of who closes an account, your credit scores may fall due to a change in a key credit scoring ratio. Closing an account causes you to lose the available credit limit associated with it. Your utilization rate, also called your balance-to-limit ratio, will increase as a result of closing the account. That may cause a temporary decline in your credit scores. That’s an important consideration if you’re about to apply for a loan. To get an idea of how your utilization ratio could be affected by closing an account, let’s say each of your four cards has a credit limit of $1,000, for a combined total of $4,000 in available credit. Let’s also say that across those four accounts, you’ve got a total debt burden of $2,000. Then your unused card gets closed, taking your available credit down to just $3,000. Now, instead of using 50% of your credit lines, you’re suddenly using 67% of your available credit. That higher proportion makes you appear to be a riskier borrower, because you’re that much closer to maxing out your available credit. Your credit scores will reflect such a change, although the actual scoring damage will vary from borrower to borrower. The FICO score assesses all the information on your credit report. So the score impact from any one action, such as closing an account, will depend on what other information is present on the credit report. Luckily, using that emergency card even semiregularly could prevent its closure by the bank  and could help your credit scores in the process. For example, you could charge a recurring subscription fee, such as Netflix, or a monthly cost, such as your cell phone bill, to your emergency card. By putting such regular charges on your plastic, you won’t be actually taking on additional debt but should keep the card alive. Just be sure you always pay your bills on time and in full, since those two steps are necessary for building good credit. Keeping the account open, using it to make small purchases and paying the balance in full each month is a good way to maintain your credit scores and might help improve them, especially if you’ve had recent credit problems. If you’ve been a responsible borrower, it’s unlikely that an account closure would have much impact. Because the most important steps for good credit involve making payments on time, not carrying excessive debt and applying for new loans only when necessary, closing one card is much less likely to affect your FICO score.

Read at: http://articles.moneycentral.msn.com/Banking/YourCreditRating/unused-credit-cards-can-hurt-you.aspx

It’s important to note that raising your FICO credit score is a bit like losing weight: It takes time and there is no quick fix. In fact, quick-fix efforts can backfire. The best advice is to manage credit responsibly over time. See how much money you can save by just following these tips and raising your credit score.

Payment History Tips

• Pay your bills on time.
  Delinquent payments and collections can have a major negative impact on your FICO score.
• If you have missed payments, get current and stay current.
  The longer you pay your bills on time, the better your credit score.
• Be aware that paying off a collection account will not remove it from your credit report.
  It will stay on your report for seven years.
• If you are having trouble making ends meet, contact your creditors or see a legitimate credit counselor.
  This won’t improve your credit score immediately, but if you can begin to manage your credit and pay on time, your score will get better over time.

Amounts Owed Tips

• Keep balances low on credit cards and other “revolving credit”.
  High outstanding debt can affect a credit score.
• Pay off debt rather than moving it around.
  The most effective way to improve your credit score in this area is by paying down your revolving credit. In fact, owing the same amount but having fewer open accounts may lower your score.
• Don’t close unused credit cards as a short-term strategy to raise your score.
• Don’t open a number of new credit cards that you don’t need, just to increase your available credit.
  This approach could backfire and actually lower your credit score.

Length of Credit History Tips

• If you have been managing credit for a short time, don’t open a lot of new accounts too rapidly.
  New accounts will lower your average account age, which will have a larger effect on your score if you don’t have a lot of other credit information. Also, rapid account buildup can look risky if you are a new credit user.

New Credit Tips

• Do your rate shopping for a given loan within a focused period of time.
  FICO scores distinguish between a search for a single loan and a search for many new credit lines, in part by the length of time over which inquiries occur.
• Re-establish your credit history if you have had problems.
  Opening new accounts responsibly and paying them off on time will raise your credit score in the long term.
• Note that it’s OK to request and check your own credit report.
  This won’t affect your score, as long as you order your credit report directly from the credit reporting agency or through an organization authorized to provide credit reports to consumers.

Types of Credit Use Tips

• Apply for and open new credit accounts only as needed.
  Don’t open accounts just to have a better credit mix – it probably won’t raise your credit score.
• Have credit cards – but manage them responsibly.
  In general, having credit cards and installment loans (and paying timely payments) will raise your credit score. Someone with no credit cards, for example, tends to be higher risk than someone who has managed credit cards responsibly.
• Note that closing an account doesn’t make it go away.
  A closed account will still show up on your credit report, and may be considered by the score.

Read more at: http://www.myfico.com/CreditEducation/ImproveYourSCore.aspx