Establishing credit is an essential aspect of living in today’s economy. A positive credit score (with a history behind it) will help you get credit cards, auto loans, mortgages, and more. Some Chesterfield landlords will confirm your credit before agreeing to rent to you. It means that as a renter, you should have something to offer them. The good news is, there is a lot you can do to establish and build your credit while renting a home in Chesterfield. Using some basic methods, you can build a credit history that will allow you to acquire the things you need in life.
Pay Your Rent on Time
In previous years, your rental payments would not be much help in establishing credit. But thanks to these advanced technologies, you can now confirm that your on-time rental payments are reported to the credit bureaus. For instance, Experian will include your rent payments in your standard credit report upon request. By recording a positive rental payment history like this, you can build a good credit history over the years. For renters who want to establish their credit, this could be the one you’re asking for. Kindly update your landlord and the credit bureaus to confirm that your payments are reported each month.
Apply for a Secured Credit Card
If you don’t have a credit history, it’s going to be tough to convince someone to give you a loan. It involves credit card companies. One way to prevent that is to get a secured credit card. A secured credit card is a type of credit card that uses your own money to guarantee your purchases. In most cases, a secured credit card will require you to make an initial payment to the card, which will convert into your credit limit. The required deposit is regularly minimal, often only some hundred dollars, but may be higher according to your instances. Using the card will help you to make monthly payments. These on-time payments are then reported to the credit bureaus, helping you establish a credit history.
Apply for Store Credit
One easy way to establish credit while renting a home is to apply for lines of credit from department stores or other retail establishments. These types of cards can be easier to qualify for than regular credit cards and can sometimes even offer a few perks. The best strategy to establish credit using store cards is to make relatively small purchases and then pay them off with on-time monthly payments. Just be careful not to bill more to your card than you can afford to quickly pay back. Bear in mind that you need to settle the minimum amount due every month to establish a good credit score. Another excellent idea may be to rent to own appliances in case you need a washer and dryer or refrigerator.
As a renter, it is helpful to have a credit history. Building a good credit score is beneficial. By executing the techniques stated above, you can establish credit while renting a home. In this way, you guarantee that if anything arises in the coming years, you’re able to face it. Don’t forget to contact Real Property Management Three Bridges to find your next home to rent. Contact us online or call us at 636-542-8852 today.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.