You may be seeking solutions post-holidays on how to pay down those credit card balances. And if you are like most people, you are paying interest rates in the teens and twenties for your APR on your credit cards. Most of your minimum payment (nearly all!) goes to your interest portion, not the balance paydown! How frustrating!

Listen in to see if transferring your current credit card balance(s) is a good idea for you. There are 3 BIG warnings you need to know about that your credit coach will share to make sure you read and understand the 'fine print' and also behaviors that you need to be aware of in your own life so you don't bury yourself deeper in debt while seeking a way out of the credit card balances.

You are likely starting get (or will be getting) your credit card statements rolling in from the holiday shopping sprees.... OUCH! Listen in to a gentle nudge, a little knowledge dropped and some encouragement to get into action to pay down those credit card bills!

Did you know that HOW you receive money often dictates how you spend it? It's true! The psychology aspects shows that when money comes to us in an unexpected form, such as a gift, tax refund, bonus or a government stimulus check, that we spend it differently than if it were earned income.

Want to do more than just spend/splurge it? I have some ideas on how you can maximize your stimulus check if you are seeking some thoughts outside of what that little voice is saying to do with it. Ideas for saving, paying down debt, or even helping a neighbor by giving to a non-profit who needs it the most.

I encourage your ideas and thoughts at [email protected] or come visit me on FB or IG @CreditKristi.

Happy New Year!

I recently learned a tip that I applied for my own credit, and it worked! So I am sharing this with you. If you have late payment history on a credit card, that payment history may be hurting your score when all other items on your credit are in good standing. There are LOTS of people who have a great credit profile, and perhaps one credit credit that had a late payment or two in the past. If this is you or someone you know, then listen in! Consider this action that I did because I too had a(n accidental) late payment hit my credit just this year. I hope this tip works for you, too!

www.creditkristi.com

[email protected]

This week I am doing things a little different! I was a guest on Shawn Yesner of Yesner Law in Tampa, his podcast called Crushing Debt. Shawn is a Bankruptcy Attorney and provides excellent guidance for those seeking debt alternatives and options which may include bankruptcy.

My goal is to teach about credit so hopefully we can all better manage our money to handle what life throws at us. But some situations are unavoidable and you will want to right representation in your corner if you need to consider a bankruptcy.

Shawn and I chat about all things credit. 

[email protected]

Have you ever wondered if it is possible to have a lower interest rate on your existing credit cards? It's possible!! Listen in for tips and guidance on when you should ask for an interest rate reduction so more of your payment goes to paying down that balance!

Whether there is a balance or not, don't close that credit card! But ESPECIALLY if there is a balance- do NOT close that account! I see people do it out of emotion..."I'll show you.... I won't do business with you anymore" Only to learn it hurts their credit score and not the credit card company to do that! Or sometimes the thought it, "I have had this card since college and the interest rate isn't great" and so the card gets closed. But if that is your longest standing tradeline and you just ended it? That could really hurt your credit history (since it is based on the longest OPEN tradeline). 

Listen in for a quick lesson and guidance from Credit Kristi.

There are several types of debt consolidation actions one can take to get out from under it. There are 0% balance transfer options, payment reduction programs, counseling options and loans that you can get that could potentially offer a better rate/payment than high-interest rate credit cards. What I do know to be true, is one day you may wake up, like I did, and feel so smothered by the debt load, it didn't feel like there were any options to get out from under it.  

There are options, it is just a matter of knowing and understanding that there are resources and steps you can take. Depending on your choice to handle your debt will have an impact on your credit profile, history and score. So listen in, get to know your options and get into action.

Between May 2020-July 2020, credit card companies have reduced limits or closed credit cards entirely and involuntarily to more than 70 million people. This number may be growing as economic concerns linger and the pandemic continues. 

With millions of people unemployed, millions not paying their mortgage, and many unknowns during this crazy year (then add an election in there!), credit card companies are scared they are going to be left holding the bag. Much like what happened back during the last recession, credit card companies are trying to limit their exposure to loss. However, if it is a credit card that you have had for many years, its closure can hurt your credit history and a reduced limit can hinder a great debt utilization factor which in turn would lower your credit scores. 

Listen in for your warning and a few suggestions to help protect yourself as much as possible.

Many people have collections on their credit report. Some it seems its their only things reporting, and others are devastated when a collection appears and may be unsure what to do now. 

There are different types of collections and the age, or how long it has been on your credit report has a lot to do with what might be the recommendation of how to handle it. 

Now although I am not a credit repair agency nor can paying or not paying a collection have an adverse effect that is different than your goal, just having an understanding of collections can help you better decide what to do to handle that situation.

Medical vs. non-medical, true debt vs mis-reporting... it all has an impact on your if it hits your credit. Listen in to learn more!