With tax returns coming in, there can be many temptations on what to do with your return. Our recommendation is as always, to set yourself up for future success!
Here are a few good ideas on how to use it for your best benefit:
- Pay down any open credit cards that carry a balance. If you have more than one, pay off your highest utilization or split between multiple cards to bring down your overall debt.
- If you are currently paying down medical debt, student loans, or personal loans, make a payment higher than your minimum for as long as your return lasts.
- Set 10% of your return aside and save it. You never know when money will be tight or an emergency will arise. Having a savings account allows you to pay your bill without having to use credit.
- If you lack proper credit, use your tax return to open a secured credit card to start building credit. Remember, ideally, you want your utilization to remain under 10%.
- If you suffer from credit issues, hire an expert to evaluate and address your credit concerns. Here at CRN, we take great pride in being some of those experts and would appreciate the opportunity to help you gain the credit worthiness you deserve.
Remember, 1 in every 5 Americans have an error on at least one of the credit bureau reports. This is and will always be detrimental to your FICO score. Those errors can be fixed, and we are here to help provide permanent solutions to your temporary problems. If you would like assistance, please feel free to contact us at Info@YourCRN.com