Understanding How Tradelines for Credit Repair Work
It is not all too uncommon for people to get a bad credit score. This does not mean, though, that there is no way to repair a bad credit score. You have to understand that there are also strategies that would help you get a good credit score back. Tradelines for credit repair are one example. You can read more here on how to repair your credit score with season tradelines; so, make sure to click here for more.
How does tradelines work and why are they able to help repair your credit? 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. To boost your credit score, these companies utilize the well-known method of credit piggybacking. For a lot of banks these days, the FICO scoring model is what they use. Basically, FICO has come up with a mathematical equation to help analyze your credit history that is stored on file from credit reporting agencies. Using a three-digit score, your credit history will be defined starting from 300 to 850.
Most of the time, banks will give you better interest rates and approve your loans if your score falls closer to 850. In accordance with FICO, 30% of your score will be calculated based on your credit card balances and limits. As all of your limits and credit card balances will be combined, if the difference is bigger, your credit score is higher. Once season trade lines will be used on your credit report, your credit score will be calculated once again. Your credit score will immediately be boosted just like that. If you want to get an idea of credit piggybacking, it is having at least 40 years of perfect payment history with $100,000 present in your credit.
If you seek the help of Superior Tradelines, your name will be included as an authorized user with perfect payment history and having a low balance and high limit credit cards. If you become an authorized user, you can use the said account but you cannot make changes to it. The main purpose of having this AU position was to add other people to the accounts of the cardholder so they can enjoy 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. You can look at this in a way where the history of the credit card has been there ever since the first opening of the account. If you have a bad credit rating, this can greatly help boost your credit score easily. Despite the fact that you do not get the ability to take advantage of the credit line, you benefit in a way that the credit card will appear in your own credit report. In less than two months, your credit score will increase. If you want to read more about tradelines, click here for more.