Tricks to Improve Credit


Tricks to Improve CreditIt is about accumulating assets by saving steadily to restore confidence to financial institutions. Consistency is almost more important than the amount as such. This is proof that you are able to manage your budget and liberate a surplus. This amount could also serve as a down payment when buying a property. Requirements of financial institutions are a little lower, and the rate of interest, when you have a down payment equivalent to 5% of the value of the property.


If you have saving difficulty (like most people), here’re ways to build credit


Firstly, you should make a budget so you know how much money you can put aside each month or week, without starving! Must calculate all compulsory expenditure (rent, electricity, groceries, clothing, insurance, debt repayment, petrol, number plate, etc…).There are several websites that offer grills and tables to help you remember everything.


The resulting amount is theoretical. Now, it is to be able to save rather than spend. The best thing is to calculate the amount to save per pay. If you are paid every two weeks, you collect the amount every two weeks. You can ask your financial institution to make direct debits immediately after you receive it. In this way, you never see that money and you will be less tempted to spend it.


Now, if your savings account is under your nose every time you remove. The perfect is to have an account or an investment totally separate. For example, a GIC (Guaranteed Investment Account), a prudent portfolio (or according to your investor profile), a savings bond, etc… The interest rate is usually received higher than a savings account, there is no risk (except investment portfolio) and especially having to request a transfer may take 2 days when you want to remove, all this help you greatly to control your “instincts spendthrift” if we can say so.


Direct Savings Account is a good solution. There is no cost, the interest rate is much higher than traditional savings accounts, savings is not frozen (depending on the product chosen) and it takes two days to transfer into your account checks. Direct debit is available.