How To Purchase Better Credit Score

This article examines how to purchase better credit score. When your credit score is low, you start looking for what to do to increase it. However, some people simply look for the quickest means to increase it.  They do this because they need a high credit score to get a loan approval. Also, they may need cards with low interest rates or rewards. What do they do?How Best To Buy Better Credit Score

How To Purchase Better Credit Score: Piggy Backing

Here, the individual with a bad credit score poses  an authorized user on someone else’s credit account. The person’s positive  account history will show on his credit report. This in turn increases his credit score. With this now, the person can get a loan or get an approval for a low interest rate card.  But this service is not free.

How To Purchase Better Credit score: How Does It  Work?

This greatly depends on the number of accounts you want to add. You pay some hundred to thousand dollars to the company. Supply your SSN and name It is now the work of the company to find positive credit report account to add you as an authorized  user. The creditor reports to the credit bureaus and this new account information displays on your score and remains on your report for 7 years.

What is the risk? Is it Legal?

The law permits this. However, it is risky in terms of security. It is like stealing somebody’s good credit. It can be likened to copying another student’s answer to pass an exam, is that not malpractice?  In the end you will gain approval for a loan with another person’s good credit score and report.

Because you have not been responsible with credit card spending and payments, you have a great tendency to keep up with your bad spending habits and late payments. In the end, you will destroy the credit score you paid lots of money to get. If you obtain a loan with this method, discipline yourself and work hard to be responsible with your credit card.

Privacy and Security Issues

What about your SSN that you gave away to be added to somebody’s account?  Will they  safeguard it? What about identity theft? You may just end up a victim.

It Is No Longer Effective

Since 2008, credit scoring algorithms either discount authorized user accounts completely, or  do not consider authorized user accounts that have been added for credit boosting purposes.

Instead, Do The Followings:

  1. Use the money you are about to pay for another person’s good credit to start paying off your debt.
  2. Learn how to live within your means.
  3. Gain credit card discipline. In the end you will be happy for paying your debts and becoming more responsible.

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