Understanding How Tradelines for Credit Repair Work
There will moments in your life where your credit score is not something that you can be proud of. This does not mean, though, that there is no way to repair a bad credit score. Contrary to popular belief, there are actually a lot of ways to repair your credit. One such example is tradelines for credit repair. You can read more here on how to repair your credit score with season tradelines; so, make sure to click here for more.
What is there to know about tradelines and how they help boost your credit score? In order for you to get a better understanding of tradelines, know that there are companies such as Superior Tradelines that can help you in this regard. How these companies work is that they do credit piggybacking so that your credit score will go up. The FICO scoring model has become the basis for banks these days. With the help of FICO, a mathematical equation is created that would analyze your credit history as they are kept on file by respective credit reporting agencies. Starting from the scores of 300 to 850, your credit history is defined in three-digits.
Most of the time, banks will give you better interest rates and approve your loans if your score falls closer to 850. Your credit card balance and limit matters in getting 30% of your scored based on FICO. A higher credit score is often the result of a bigger difference between your combined limits and combined credit card balances. When there is the appearance of season trade lines on your credit report, there will immediately be a recalculation of your credit score. Just like that, you can see an improvement in your credit score. To know how credit piggybacking works, just think of having $100,000 present in your credit with 40 years making a perfect payment history.
While Superior Tradelines will establish low balance, high limit credit cards and a perfect payment history for you, they will be adding your name as an authorized user to them. Even if you can use this account as an authorized user, you are not given the power to change it. Originally, the AU position was created to give cardholders the ability to add other people to their account for them to have access to their credit line. This is beneficial for the authorized user such as yourself because the account history of the credit card that you have used will appear on your credit report. It would look as if the credit card history has been existing ever since the account was made. This allows a great boost to your credit score if it is currently bad. Though you have no ability to use this credit line, you will still benefit from having the credit card record pasted into your credit report. With just less than two months, your credit score goes back on track. If you want to read more about tradelines, click here for more.