Credit Secrets Experts Wish You Knew Today

Avoiding Common Credit Pitfalls

Understanding credit is not just about knowing what to do; it's also about knowing what to avoid. Common pitfalls include opening too many new accounts in a short period, which can signal financial distress to lenders. Additionally, closing old accounts can inadvertently reduce your credit history length and increase your credit utilization ratio. By being mindful of these actions, you can maintain a healthy credit profile.