Improving your credit score is no easy feat, especially once you’ve already dug yourself into a deep hole in terms of debt and late payments. Although there are many ways that your credit score can get out of control, losing track of payments and letting your debt burdens run amuck is by far one of the easiest.
Start of on the right foot
From the get go, you want to make sure that your largest debts are taken care of in a responsible manner. It’s often not that the price of each payment is too exorbitant for you to handle, but you may just keep losing track of due dates. Whether from inexperience paying bills or from too many loans out in your name to adequately juggle all of the dates floating around in your head, mismanaging your loans can be surprisingly easy for even seasoned borrowers.
It’s not easy being a grad with debt
Student loan borrowers tend to have the most trouble maintaining their debt burdens because they don’t anticipate the monthly payments they will be expected to make upon graduation. Because these bills aren’t necessarily at the forefront of every graduates mind – issues like finding a job or a place to live besides mom and dad’s house tend to occupy that space – many individuals will ignore the envelopes that arrive in the mail or the email warnings until they get a phone call informing them that they are not only late, but owe even more money than they may have because of fees.
Automatic payments can cover your back
One way to make sure your loan doesn’t go delinquent is by setting up an automatic payment plan on each of your loan packages. This is especially true of your student loans, so that these bills can be out of sight and out of mind while you pursue the more pressing matters in your life
Don’t ignore these debts altogether, however, as the terms and conditions of these loans can often change at the drop of a hat. Maintain payments and credit monitoring to make sure you take care of your loan responsibly.