It’s almost Christmas time!
So, we’ve gone ahead and created a list of 5 helpful tips that will help you keep your spending in check and your credit score above the average.
- Plan how much you’ll spend this year – In 2018 Australians spent $25 billion collectively over Christmas. It might seem like a ‘cliché’, but having a set budget of how much you can afford to spend versus having no budget and overspending may save you from defaulting on your credit card. You should only be spending according to what you make and what you have saved.
- “One click purchases” – Make sure if you are online shopping, not to have your credit card saved on your web browser. If you are prone to impulse buying, you may be more likely to buy something you really did not want or need.
- Do not OVER-apply for credit – Applying too many times for credit may have a detrimental effect on your credit file. Constant knock backs may result in your credit score declining and affecting your ability to obtain future finance well after your enquiries.
- Paying your bills before buying your gifts – It is very important to make sure you do not overspend on gifts and forget about your financial obligations. Even after Christmas, your bills will accumulate. Since the new Comprehensive Credit Reporting system has come into place, delaying or missing payments for more than 14 days will leave your account in default, and as a result your credit file will show the negative repayment history for 2 years.
- Have your credit file assessed – If you have trouble understanding what your credit file means, let us know! Our team at TAT Solutions will provide you with a free, no-obligation credit report assessment. This will enable you to better understand your borrowing capacity.