Things to Know

Credit Tips


While in our program, here are a few things you should do to ensure the best results as well as set yourself up for success in the future. Some of these may not apply to your case and you should call us if there are any questions.

  • Do not apply for any credit While in the program.
  • Work to pay down credit card balances to 30% of credit limit.
  • You should have 2-3 open credit cards.
  • Opt out of credit offers at
  • Do not close open credit cards.
  • Paying off older collections, could cause scores to drop.
  • Pay your bills ontime.

Why These Items Are Important

Credit is not taught in school, and is one of the fundamentals of our society. Most people have to learn about credit by trial and error and it should not be that way. Credit is merely a tool to use to assist you in getting some of the best financing around, better jobs, cheaper insurance, and opens many opportunities.

How Scores are Calculated

One of the main reasons we focus on credit card debt is because this area has one of the biggest impacts on your credit scores next to your pay history on your accounts. When you can address a number of these areas at once, you can see results in your scores quicker. Here are the 5 factors your scores are based off of:

As you can see, 65% of your scores are tied up in your payment history and credit utilization (Revolving Debt). If you are maxed out, over the limit or over 30% of your limit, you're score is most likely being hit. Suppose you were maxed out, and had a late payment show up on your credit report? This would have a very Large Impact on your score as your risk of default has greatly increased.

When you close cards, this also increases your credit utilization. For instance, if you had two cards, each with a $250 balance on them, and each with a $1000 limit, you would be at 25% utlization. If you closed one card, and still owed a balance on it, you would now be at 50% of utilization since you owe $500 and have a limit of $1000.

Lean on our Expertise

While in our program, we will continue to work closely with you to ensure that you are working towards your credit goals. But more importantly, we want you to lean on us regarding any credit questions you may have to optimize your results.