Sense & Centsibility Blog

Managing Credit Through Different Phases of Life

People have different views of credit depending on what’s going on in their lives. How good (or bad) our credit is can affect everything from car insurance rates to getting a job to buying a home. 

Establishing and/or improving credit

When you’re just starting out and have no credit or if you’re trying to rebuild your credit after a bankruptcy, a great way to create good credit history is to open up a secured credit card. Do this through your local bank or credit union and make sure that you make payments on time and don’t charge more than 30% of the limit. The most important thing to remember is don’t charge more than what you could pay for with cash right now.

You can even try taking out a small personal (unsecured) loan with your local financial institution. You may not get the greatest interest rate if you have a low credit score or no score, but establishing a good payment history is key. Determine what is affordable and realistic in your situation. Also, always make your payments on time as that is the biggest factor in determining credit scores.

I’m right where I want to be. Why should I worry about my credit?

Because you never know what the future holds. You might think that you’ll stay with the same company until you retire or the same house for the rest of your life, but sometimes the unexpected happens…and that changes our plans. That’s why even though you think your credit is just fine and you don’t need to worry about it, you should maintain good credit and always keep it on your radar. 

Be proactiveCredit report

Pull your FREE credit report from You can pull reports from all 3 reporting agencies (TransUnion, Experian, and Equifax) for free once per year – and it’s recommended to do this every year to make sure there are no errors or fraudulent activity.

How do I decipher this thing?

Credit reports can be tricky to read and sometimes it’s hard to determine where to start if you’re looking to rebuild or improve your score. Experienced counselors are available at LSS Financial Counseling to assist you. Call us today at 888.577.2227 to schedule your credit report review. We can help you make sure you’re on the path to a bright financial future.

Looking to conquer your debt? Call us or get started on your online budget counseling session right now by clicking here!