If you’re looking to maintain good credit, here are the five habits all consumers with high credit scores share that you need to adopt as well: 

1. Keeping your balances in check. In other words, don’t max out your credit cards. Ideally, you don’t want to exceed a 30% utilization rate. For example, if your limit is $1,000, don’t exceed $300 at any one time. 

2. Always making payments in time. This comprises 35% of the weight of your credit score. It takes a long time to build up good credit, but it can all be reduced immediately with late payments. 

3. Building your history. This may be a tad more difficult for younger borrowers, but if you’ve had credit cards for a long time, don’t close them down—you might lose the history associated with them. 

“It takes a long time to build up good credit, but it can all be reduced immediately with late payments.”

4. Being careful with new credit. Even if your payments on time, having too many credit cards can hurt your profile. 

5. Remembering that mistakes will happen, financial or otherwise. Some of these mistakes can affect your credit report. A recent study by FICO found that one out of every 100 consumers has a collection on their credit report that’s led to their score declining. If necessary, talk to your lender about the steps you need to take to repair your credit. Ensure any collections or derogatories on your report are valid. If not, we can help you remove them. 

If you’d like to know more about maintaining good credit or have any mortgage-related questions, don’t hesitate to reach out to me. I’m here to help.