How To Protect Your Credit

September 3, 2021 | Peyton Sawyer

how to protect your credit

Your credit plays an important role in your life. This is why it is smart to learn how to protect your credit. That is exactly what we want to talk about in this article. We’ll cover several ways to keep your score safe, this includes keeping it safe even when you face an emergency using Delaware title loans.

The Importance Of Knowing How To Protect Your Credit 

Your credit history is a reflection of your finances. It shows how good you are at paying debts on time. This can help certain lenders determine whether they should be lending their cash to you.

If you do not ensure that your credit is as good as possible, then you may struggle to borrow money in the future. You may even find that you are excluded from certain jobs.

Thankfully, there are a few things that you can do to protect your credit.

Only Apply For Credit When You Need It

Firstly, every single time you apply for credit, it will be reflected on your credit report. This will have a negative impact on your credit score. This is because those that tend to be applying for credit are those that may have financial issues.

We recommend that you only apply for credit when you have no other choice. However, there are options that don’t reflect on your credit, such as a title loan.

Pay Your Bills On Time

Missing bill payments can have a massive impact on your credit. Multiple missed payments can impact you for years.

This means that if you want to protect your credit, you will always want to ensure that you pay your bills before the due date. In fact, if you take just one tip away from this page on how to protect your credit, make sure that it is this one.

protect your personal information

Protect Your Personal Information

It isn't all that difficult to apply for and obtain credit. A person just needs a few basic pieces of information. There are some scammers out there that will try and manipulate you into handing over information such as your social security number, name, birth date, and address.

You should only hand over your personal information that you can trust. If you receive a phone call or email asking for your personal information, you should confirm the identity of the person behind such a request.

You will also want to ensure that you shred any documents that may have your personal information on. This will ensure that if somebody does go through your garbage (yes, it happens), they won't find any personal information about you.

Regularly Check Your Credit Reports

Mistakes can happen on credit reports. Payments may be incorrectly recorded, for example.

We suggest that you get into the habit of checking your credit history a couple of times per year. If you spot any mistakes, then reach out to the company that made the mistake.

Don't Close Credit Cards

It can be tempting to close credit cards that you no longer use but do try to avoid it. This is especially important if it was one of your first credit cards.

A key component of a credit score will be how long you have been dealing with credit. If you cancel a credit card, then it will eventually disappear from your credit report. This can make it seem as if you didn't have credit when you did.

You could see some benefit from putting a small amount on your credit card from time to time. Make sure that you pay it off at the end of the month. This will help to keep a history of repayments on your credit report.

Don't Co-Sign Loans

When people are asked to get a co-signer on a loan, it means that they have poor credit. While it can be great to help somebody out, co-signing a loan can have a negative impact on your credit.

For starters, you will get a credit inquiry. Earlier on in this guide for how to protect your credit we mentioned that this will have a negative impact.

If the person fails to pay back what they owe, not only are you going to be on the hook for their repayments but the lack of payment will be shown on your credit report.

Basically, there are very, very few advantages to co-signing a loan, especially when it comes to protecting your credit.

get a title loan to avoid late payments

A Title Loan Can Be An Option For Emergencies

If you are looking into how to protect your credit, then making sure to avoid loans that show up on your credit history is important. One option may be car title loans in Delaware. This can provide access to between $300 and $15,000, depending on the value of your vehicle.

A title loan help to protect your credit in a few ways:

  • A title loan will not be reported to the credit agencies. This means that you do not need to worry about an inquiry on your report.
  • You may be approved for a title loan regardless of your credit status. This means that Delaware Title Loans, Inc. welcomes those with good or bad credit.
  • A title loan can be an option to prevent bills from being paid late. As mentioned previously, late bills will have the largest impact on your credit score.

How To Get A Title Loan

  • Fill in the short inquiry form on Delaware Title Loans, Inc.
  • Wait for one of our representatives to reach out to you. They will discuss your inquiry. The phone call will normally come through in just a couple of minutes.
  • To complete the process, our representative can meet you at one of our locations or a location of your choice. Make sure to have a government-issued photo ID, the lien-free title to your vehicle, as well as the vehicle itself.
  • One of our staff will inspect your vehicle to determine if you are qualified and how much you may be able to borrow. If approved, the money could be available the same day or the following banking day.

Protecting Your Credit Can be Simple

If you are looking into how to protect your credit, follow our tips and review your credit history today. And always remember that one option for borrowing money can be a title loan. This can help cover emergency expenses without being reflected on your credit score. Fill in an inquiry form today to start the title loan process.