When you shake up your budget with a pay down of a larger bill, the long term savings is well worth the process. The credit bureau gives you a score that ranks how well you take care of your finances. The only way for them to watch how you use your money is by reports from third party financing. Creditors show your usage and they make reports when you make errors. In order to have a good credit score, you need to have these third parties involved and there needs to be proof of you using them. It’s a bit of a catch 22, but if you budget well and don’t get trapped into spending all the balance available to you, then you can make the most of your money. Keep yourself in the right direction by using solutions to keep you on course.
Having a high balance is as hurtful to you as having no balance. When you use a cash advance to help you pay down on a higher balance, it will show your good money management with out the reports of another third party on your credit. Cash advance loans are not reported since the loans are set up to be short term and people will have them paid back before it even has a chance to get attached to your credit score. Short term money solutions do help keep budgets balanced and in good working order.
