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SMART CREDIT PRACTICES

Before You Buy a Home:

Be Smart with Your Credit Practices

Be sure to pay your bills on time.

Avoid late payments, as they stay on your credit report for seven years.

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Be strategic with your credit balances.

People with the highest credit scores use less than 7% of their available credit. A smart practice is to make sure you use less than 30% of your limit on any card.

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Request higher credit limits.

When your income increases or you've gained positive credit, you may be able to get a higher credit limit. Your credit score will improve when your credit limit goes up and your balance stays the same, lowering your overall credit utilization ratio.

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Quickly dispute any credit report errors.

An error on one of your credit reports could reduce your overall credit score. Quickly disputing credit report errors can help you improve your credit score.

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Immediately handle collections accounts.

If you have any credit accounts in collections, pay them off quickly and ask the creditor to report the pay-off to the credit reporting agencies.

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Build or rebuild your credit using a secured credit card.

A secured credit card is backed by a cash deposit that acts as collateral for the card. Using a secured card is a smart way to build or rebuild your credit.

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Get credit for your monthly bills, such as rent, utilities, phone and Internet services.

Get your monthly bill payments added to your credit report using a Rent Reporting Service such as Experian Boost™, a free service. By linking your bank accounts to your credit report, you can get credit for on-time payments to monthly bills, such as cable, Internet, streaming or mobile phone services.

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Mix up your credit.

Beyond credit cards, get a personal loan and pay it off without any late payments.

Suburban Homes

What not to do before applying for a home loan and before your loan closes.

1.     Don’t make any large purchases, such as buying a new car, furniture or appliances.

2.     Don’t incur new debt of any kind.

3.     Don’t max out your credit cards.

4.     Don’t close any credit card accounts, even ones you don’t use.

5.     Don’t forget to check your credit score and report. AnnualCreditReport.com is a free service           that checks all three credit reporting agencies.

6.     Don’t forget to work on credit report resolutions.

7.     Don’t be late on any of your bills.

8.     Don’t change jobs.

9.     Don’t co-sign on any loans.

10.   Don’t make big deposits without providing verification to your lender (such as a gift letter).

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Town Square Mortgage

17300 Dallas Parkway
Suite 1030
Dallas, TX 75248
info@tsmlending.com
(972) 292-7600

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Copyright© 2024. All Rights Reserved. Equal Housing Lender. Town Square Mortgage, a DBA of American Portfolio Mortgage Corporation. NMLS ID 175656. 2401 Plum Grove Road, Suite 202, Palatine, IL  20067. Licensed by Alabama State Banking Department,  Consumer Credit License #23212. Expires 12/31/2024. Licensed by Arizona Department of Insurance and Financial Institutions, Mortgage Banker License #0920153. Expires 12/31/2024. Licensed by Arkansas Securities Department, Combination Mortgage Banker-Broker-Servicer License, #109676. Expires 12/31/2024. Licensed by Colorado Department of Regulatory Agencies Division of Real Estate, Mortgage Company Registration. Expires 12/24/2024. Licensed by Delaware Office of the State Bank Commissioner, Lender License #0299047. Expires 12/31/2024.  Licensed by District of Columbia Consumer Services Division, Mortgage Dual Authority License #MLB175656. Expires 12/31/2024. Licensed by Florida Office of Financial Regulation, Mortgage Lender License #MLD836. Expires 12/31/2024. Licensed by Georgia Department of Banking and Finance, Mortgage Lender License/Registration #34260. Expires 12/31/2024. Licensed by Idaho Department of Finance, Mortgage Broker/Lender License #MBL-2080175656. Expires 12/31/2024. Licensed by Illinois Department of Financial and Professional Regulation,  Residential Mortgage License #MB.0005608. Expires 12/31/2024. Licensed by Iowa Division of Banking, Mortgage Banker License #2012-0015. Expires 12/31/2024.  Licensed by Kansas State Bank Commissioner, Mortgage Company License #MC.0025217. Expires 12/31/2024. Licensed by Kentucky Department of Financial Institutions, Mortgage Company License #MC81341. Expires 12/31/2024. Licensed by Louisiana Office of Financial Institutions, Residential Mortgage Lending License. Expires 12/31/2024. Licensed by Maine Department of Professional and Financial Regulation, Consumer Credit Protection, Supervised Lender License. Expires 12/31/2024. Licensed by Maryland Office of Financial Regulation, Department of Labor, Mortgage Lender License #175656. Expires 12/31/2024. Licensed by Michigan Department of Insurance and Financial Services, 1st Mortgage Broker/Lender/Servicer Registrant #FR0020630. Expires 12/31/2024. Licensed by Minnesota Commerce Department, Residential Mortgage Originator License #MN-MO-175656. Expires 12/31/2024. Licensed by Mississippi Department of Banking & Consumer Finance, Mortgage Lender License #175656. Licensed by Missouri Division of Finance, Mortgage Company License #175656. Expires 12/31/2024. Licensed by Nebraska Department of Banking and Finance, Mortgage Banker License. Expires 12/31/2024. Licensed by Nevada Department of Business & Industry Division of Mortgage Lending, Mortgage Company License #4553. Expires 12/31/2024. Licensed by New Hampshire banking Department, Mortgage Banker License #23322-MB. Expires 12/31/2024. Licensed by North Carolina Office of the Commissioner of Banks, Mortgage Lender License #L-158767. Expires 12/31/2024. Licensed by Ohio Department of Commerce, Residential Mortgage Lending Act Certificate of Registration #RM.850217.000. Expires 12/31/2024. Licensed by Oklahoma Department of Consumer Credit, Mortgage Lender License #ML016634. Expires 12/31/2024. Licensed by Oregon Department of Consumer and Business Services, Mortgage Lending License #ML – 5460. Expires 12/31/2024. Licensed by Commonwealth of Pennsylvania Department of Banking and Securities, Mortgage Lender License #105845, and Mortgage Servicer License #105846. Expires 12/31/2024. Licensed by Tennessee Department of Financial Institutions, Mortgage License #112482. Expires 12/31/2024. Licensed by Texas Department of Savings and Mortgage Lending, Mortgage Banker Registration. Expires 12/31/2024. Licensed by Commonwealth Virginia State Corporation Commission, Lender License and Broker License #MC-5808. Expires 12/31/2024.  Licensed by West Virginia Division of Financial Institutions, Mortgage Lender License #ML-175656 and Mortgage Broker License #MB-175656. Expires 12/31/2024.  Licensed by Wisconsin Department of Financial Institutions, Mortgage Banker License #175656BA. Information About You and Your Visits to the Website Expires 12/31/2024.

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