Establish Credit

Establish good credit

Your financial security depends on a good credit history. If you don't have credit yet, establish a financial presence and be responsible with your money. The first step is opening a bank account.

1. Don't charge more than you can afford. Open a Checking Account. Shop around for a free or low-cost account. Make sure you understand the bank's charges and fees. If you can afford it, also open a savings account.

2. Keep Your Banking Information Safe. Safeguard your automated teller machine (ATM) card and your personal identification number (PIN). No one else should know your PIN or have access to your ATM card.

3. Make Regular Deposits. Don't let your balance go below the minimum. Contact your bank immediately if there are any account-related problems or if you see a mistake on your bank statement.

4. Record All Transactions. Record every check, deposit and withdrawal in your checkbook register. Compare the register to your bank statement.

5. Don't Bounce Checks. Don't write a check unless the money is in your account. If you abuse your privileges at one bank, you could be denied access to other banks.

6. Apply for a Credit Card. Ask your bank about opening a credit account. Carefully review the credit terms. Beware of "low introductory rates" because they're only low for a short time. Make sure the bank will report your performance to a credit bureau so you can begin to build a credit history.

7. Pay Your Bills on Time. Don't charge more than you can afford. Try to pay off the balance every month. If you must use more than one credit card, keep both cards well below their limits.



    Fannie Mae
    Freddie Mac
Ginnie Mae


Discussion Forum

Recent Posts -


Credit Problems
Homeowners - get fast, easy & free online mortgage answers.

Lower Payments

Search MortgageSector for Low Rate Loans! Get Info & Apply online here.

No Credit Needed
Compare offers on interest on adjustable mortgages. Get Started now!



By visiting Allie Mae you have taken your first step toward becoming an educated borrower. Allie Mae is an objective, independent source of information for the mortgage consumer. Whether you are buying a home, refinancing, taking a home equity loan, building a home or in need of a mortgage for any purpose, Allie Mae is here to help. Allie Mae has helped thousands of people with their mortgage needs. We have a complete selection of articles, charts, calculators, and checklists designed to help you through the mortgage and home buying process.

© 2004 Copyright AllieMae. All Rights Reserved.
Privacy Policy   Legal  Terms & Conditions   Webmaster   Site Map    Application
About   Contact Us   Forum   Dictionary   Calculators   Articles   Free Content