A lot of people that do not really understand the manner in which credit scores work think that if they own a credit card but don’t use it they are doing the best thing possible for their credit ratings. This logic is based on the concept that if they are not borrowing at all, it means that they are good with money and highly responsible which should obviously boost their credit score by a large margin.
The problem here is that a credit score is not an indication of how good you are with money, it is supposed to show companies how good you are at paying back debts. If you aren’t borrowing any money in the first place, how are credit card companies supposed to ascertain your trustworthiness as a borrower? If you just leave your credit cards lying there without using them your credit rating is not going to fall, but it won’t rise either. It is just going to stay static which is of no use at all. At most you can hope for a slightly bump in your credit rating now and again, but nothing big enough to help you borrow more at a later date.
Use your credit card here and there, just don’t overdo it. Show your credit card company that you do need loans, but you are also very good at paying them back. This is the best way to entice them into lending you more money later on. You should keep checking your credit score on CreditCheckTotal360 so that you can see where you are headed. Anything can happen at any time, and knowing your credit card score can help you stay a few steps ahead and mitigate problems before they get serious.