The most strategically sound way to build up your credit report is the simplest thing in the world; start paying your on time every single month of the year. One of the best ways to be able to do this is to make sure that you are not spending more money that you are making each month. Keeping a good eye on your finances will help enormously.

Credit is so convenient that it can be very easy to slip into serious debt. You will need to make a conscious effort not to overspend using your cards. Be strong and think before you buy. Decide if this purchase is going to be worth it in the long haul.

Every year having a good credit history is more and more important than before. Your credit rating can affect any loans you wish to apply for like for your home or car, your ability to be approved for other credit cards and even your ability to rent an apartment or get a job! Employers look at credit reports as part of their background checks. If you have seriously bad credit this employer may think that you are not responsible enough to work for them and that is it; no job for you.

What you need to do if you have poor credit is begin establishing good credit. What you can do to get this accomplished is start paying your bills on time. If you have credit cards, do not just make the minimum monthly payments, pay a little more than that each month. Even if it is only a few dollars it shows that you are doing what you can.

Many people make the mistake of applying for credit cards even when they know there is not a hope in heck of getting approved. I've done it, we all have done it, we hope maybe we will fall through the cracks and get approved. Stop doing this! It affects your credit rating. Each application you fill out and each application that gets rejected shows up on your credit report. If a lender checks you out and they see all of these inquiries they wonder what is wrong and then consider you a high-risk borrower.

If you are a student and you have never had a credit card before you should look into some of the specialized credit cards out there. There are cards for these newbies to help you start building your credit. Once you are approved it is a good idea to make small purchases and pay them off every 2 months. This will show that you are responsible and that is what potential lenders like to see.

Car loans are another great way for anyone to improve their credit history. By having such a large balance and making your scheduled payments each month lenders will see just how trustworthy you really are. This option is for people who already have some credit established but wish to build it up even further. If you have no credit history it can sometimes be difficult to get an auto loan.

Now that you are involved in the wide world of credit it is essential that you get a copy of your credit report at least once a year. Once you have it check it for any errors that may have occurred. If you see any errors be sure to report them at once to the creditors so that they can fix it. Follow this advice and in no time flat your credit will all shiny and nice.

Martin Lukac, represents http://www.RateEmpire.com, a finance web-company specializing in real estate/mortgage market. We specialize in daily updates, rate predictions, mortgage rates and more. Find low home loan mortgage interest rates from hundreds of mortgage companies! Visit http://www.RateEmpire.com today.