That impressively perfect 850 credit score may seem like an unattainable accomplishment, especially if you have suffered with past credit mistakes such as too much debt, bankruptcies, or collection accounts. A small pool of people, roughly half a percent of the population, enjoys the benefits of the top tier of credit. High credit scores give a consumer a wider variety of options in all of their buying decisions, and can save them literally hundreds of thousands of dollars in interest over a lifetime.
How can you join this group of credit elites? It may be easier than you think. Let’s look at nine smart habits of people who have a perfect credit score.
1. Create a budget
A perfect credit score is born far before a credit report is pulled. It begins with a person’s budget. Consumers in this upper credit scoring echelon understand their expenses and balance them with their incomes. Avoiding bills or thinking “I will find some way to make ends meet” sets you up for a financial meltdown. Get more involved with household bills, and understand your outgoing money to help you manage better, and avoid potential late payments or mounting debt.
2. Live within your means
It’s sometimes difficult to not yearn for a new car when your neighbor just bought one, or fantasize about an expensive vacation when your brother-in-law just took one. Don’t let these feelings cause you to spend more than you can afford. One of the main components that people with perfect credit scores share is their ability to live on their salaries and pay their bills on time without incurring crushing debt. Embrace self control. Your financial future is worth it.
If you really want to purchase something, you need to do what they do and…