So many credit cards and not enough time...What does the new credit card law really mean to you?
Well, let me tell you what it means to me. It means that my credit score isn't affected by the decisions on the banks and companies.
My card is what?
My husband and I were going on a trip. We decided the existing camera was outdated and the camcorder doesn't always fit out purpose. We went into Best Buy to "browse". After my husband found the camera that spoke to him we decided to purchase.
We went to the checkout line to purchase the item. As my husband was pulling out cash I stopped him and reminded of the store card that hasn't been used in over 1 yr.
The clerk stated it was closed due to lack of activity for more than a year.
Closed!!!!
How dare someone make that decision for us. We were extremely upset for many reasons. Let me tell you how your credit score is indicated.
- Payment history
- Amounts owed (outstanding debt)
- Length of credit history
- New recently opened accounts
- Types of credit used
Imagine you owned three credit cards that were opened 5 yrs apart. The very first one is closed without your knowing. You have now eliminated 5 yrs of spotless credit history. #1 & #3 are affected based on someone else decision.
Luckily for the company our credit score was not affected, but it would have been nice to have the Best Buy credit card in case I wanted to use in the future at my leisure.
Seek clarity about your financial situation and grasp an understanding of how your finances function...http://www.boston.com/business/personalfinance/managingyourmoney/archives/2009/05/what_the_credit.html
Be inspired,
Bahiyah Shabazz
2 comments:
These credit cards hold a catch 22. Sort of your damned if you do use them... and damned if you don't do to lack of activity.
When used wisely and not emotionally credit cards can allow you to improve your credit score and take responsibility of your financial freedom.
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