What is going on you guys and welcome back to another video on the channel? I'm, so glad you guys are tuning by and in today's. Video we're, actually gonna talk about exactly how you guys can increase your credit score very, very, very, very, very fast.
We're, not gonna be si. We're, not gonna talk about any other things that aren't really relevant, and another thing is: I'm gonna talk extra fast, because this is about increasing your credit score very fast.
So for you to do that really fast and for us to do this in a very fast manner, I'm gonna. Do this in a very fast way, too, by talking very fast? No all kidding aside, we're gonna slow down a bit. I actually found a very, very good video on Fox Business.
This came out pretty recently actually and they actually have an analyst from credit cards calm, which is one of the affiliate partners that we actually do work with so Ted Rosman. He's, spitting some fire on this.
What I'm gonna do is play this video by Fox Business Live, and then I'm gonna give you guys a little bit more insight, reactions and things that you guys should also take away from this as well, because There are some things you guys will learn in here that will help you increase your credit score very, very fast play the video welcome back.
We are watching your wallet. Credit scores are soaring America's, average credit score in 2019 reached an all-time high of 706. According to FICO. Our next guest knows how to keep those scores. Climbing joining us right now is credit cards.
Comm industry, analyst Ted, Rossman Ted took it to see it thanks so much for joining us. Thanks for having me [ __ ] tell us some of the best ways to accumulate credit and why you need to get a good score.
The number one factor is paying your bills on time, so do that, every time that part is more of a marathon, something you can do quickly is to lower your credit utilization ratio. That's really the like.
I could end this video right there and then we could be good. The the best way to increase your credit score. You guys is just pay off your bills on time, not to have credit card debt that's. It if you guys do that over time over time, what happens is that your credit score will increase, but we're gonna talk about exactly some ways.
You guys can do this a little bit faster. This was part of the second biggest fact. What that is so that is how much credit you're, using divided by your total credit limits. So what people don't realize is that even if you pay your credit card in fall every month and you should, you may still have a high ratio which is hurting your score.
Let's say you make four thousand dollars of charges throughout the month you have a five thousand dollar limit, that's, an 80 % ratio that's really high. We want you to keep it below 30 %. If you can below, 10 % would be even better.
So often you're gonna find these analysts to say keep it under 30 %. I don't even recognize pay off your credit cards on time in full every single month. You're, not gonna see a 30 % utilization that's.
Only how much you're using and not paying back. So if you guys actually want to keep a very low credit score, some of the things that they mentioned right here is that you can make an extra mid month payment that's.
Where you pay off your credit card bill middle of the month. You just do that to actually reduce that utilization, but he's talking about how you should keep under a 30 %. So if you have $ 10,000, you want to make sure you're only using $ 3,000 of that.
None of that matters, if you're gonna pay off that balance anyways, but a good way to combat this is one either get a credit limit increase or to pay it off in full. 30 % is not the goal you want to be at.
You want to be at under 1, 2 or 3, 30 % max. You want to be under a 3 percent max utilization and that's. When you & # 39, ll see your score rise even more. Let's play the video. So the solution, regardless of where you are on the credit or income spectrum, make an extra payment mid month, knock that ratio down before the statement generates.
That's, going to help your score, not a bad technique. Some people will claim. Overpaying will also help your score guys at the end of the day, if you pay off your current statement balance, not your current bounce, your your statement balance your balance that you had the previous month.
You'll, be good! That's. All you have to do just set up automatic payments. Your score will go up. You don't have to go out your way and do all these things. Unless you & # 39, re, really pressed about having an even higher score the only times.
I say that should be acceptable is if you're applying for a new house, and you know that every little percentage on your interest matters. But then again you can always go to a credit union to refinance or just make an update on your financing or your interest plan at that Bank.
If you know that your credit score is gonna go up. 10 20 30 points in the future, but there's. Usually there's, usually cap, I would say like around 727 15 and above after that, you're. Getting the same interest rate now don't quote me on this, because every institution is different, but generally, this is what you're gonna find and when I actually bought my truck.
This is the interest rates that they were working with. I had a 747 50 score and he told me Brian, even if you had an 850 score and none that matters after a certain point, 7:10. 7:20. Your interest rate can't get better than that.
It just depends on what institution you go to that's. Gon na offer you the best rate for whatever age you are and what you're, trying to get the loan out for okay. So if I came to you - and I said, Ted would - is the number one thing that I can do to get my score up right now.
What's? The first thing you told me to do that's. What I would do is lower your credit utilization ratio that's very actionable. Some of these other things like paying your bills on time, great habit, you should do it.
It's, gonna take time the utilization ratio, lowering that will help you immediately another one sign up for Experian boost. This is a new experimental program. It's really geared towards people that have low credit, maybe no credit that's.
A big deal with young adults these days establishing credit is hard, so Experian boost looks at things that don't traditionally count as credit cellphone payments utility pans. With your permission, they're gonna look at your bank account.
If you're making those payments on time that can help your score, they say the average improvement is 13 points. Does that cost any money it does not, and it's instant. So I would say look into that. If your score is below 700, let's, say okay, so this guy is offering a pretty good option.
If you guys wanted to increase your score - and you guys need to realize that, because he's associated with a different credit card issuer or the other issuers, everyone is working together at some point, and the thing with Experian bust is that you are Giving your full bank account password to another company, and let us not forget how many times there have been data breaches within Experian and within these other credit card bureaus.
So this is something that you guys need to consider really. If you really really really really need a credit boost, because you are giving another company who has had issues in the past with privacy reasons with security concerns of giving them your full access bank account statements, they can see everything.
So personally me, I was told Brian. We can increase your score completely, for free will, increase it another 20 to 30 points. Well, I say yes, hell. Yes, no just no! I wouldn't there's no way. I would there's that it doesn't make sense to me.
I wouldn't gamble that, especially because they have that history. Now, if Experian was known to have a rock-solid, they are on lockdown. The best hackers couldn't get in that, but hey. This is something I'm curious about.
If any of you guys have ever done an experience before, please let the community know down below how was your experience? It actually helped. Your credit score a lot I've, never done it. I'm, really curious to see what the public opinion is on that what are some of the popular credit card offers in 2020, because most people don't realize I mean that credit card rates are so high.
I mean you & # 39, ve got rock-bottom rates elsewhere, and yet a credit card company can charge what 19 % yeah the average is about. 17 percent, if you have good credit about 25 %, if you have bad credit, so people often don't realize this, but your interest rate is actually dependent on your credit score.
So this is really that terminology the poor gets poorer. The poor gets poorer and the rich get richer. If you already have a good credit score and you maybe you can't pay off your credit card bill. That month, you're, not gonna get the worst interest rate, but if you already have a lower score, they're gonna give you the highest interest rate already possible just to keep people even lower, so it'S really one of those things that I don't agree with just ethically I feel like there should be.
It should be flipped. You know opposite, I feel like. If you're, making more money you make that mistake. Maybe you should be paying more interest and not letting people who already have no money suffer even more so when you guys apply for a new card, you'll, see like a variable interest rate.
It would be like 13 to 30 %. That spectrum is actually based on your credit score. It's, really unfortunate, keep in mind just pay off your credit cards in full on time. Otherwise, you defeat the purpose of all the things I teach on this channel.
A very popular card is the Chase Sapphire reserve. Ah the Chase Sapphire reserve. We just made a video on that. Actually, every single youtuber in the credit card space and their mothers have made a video on that and this one's been in the news this week because they just raised their annual fee from 450 to 550 dollars.
I know it sounds steep, but this card is really beloved by many, especially millennial young professional urban types. It appeals to travelers. This is one thing right now with this part of the interview that I'm, really just skeptical about because he could have named any card like any actual like good card.
The Chase. Sapphire reserved would be the last card that I would give publicity to. They just increase that annual fee. They have all these benefits. He's. Getting told right now that they're gonna ask him this question and he needs to promote this card.
This is not the card that would be like the card of 2020. This is frankly right now one of the worst cards in my opinion, because it costs you five hundred and fifty dollars. Yes, you get a three hundred dollar annual travel credit.
If you don & # 39, t have TSA. Yes, you get a hundred dollar credit to that, even global access. Yes, you get airport lounge access, but they're, not even listing the main benefits that people would get this card for and that's.
Actually, the ultimate rewards portal boost of fifty percent, that's, one reason and the other would be the 3x that you get back, but the newly added lift and or dash perk. I know for some people. This card is now perfect for them, but other than this little circle of people, everyone else outside of that they don't like this.
I don't like this card. I don't know about get this card anymore. I was gonna get it. I don't want to so right now. This is basically an advertisement for the chaise Sapphira serve. I recommend the chase freedom card if you guys are interested in a much better card in terms of having a lower annual fee, having more flexible options not having to worry about traveling to recoup the benefit and the money you put into that card.
To get your investment back, the chase freedom is one of the best beginner credit cards out there. I will have a video attached somewhere, you guys, can click a card at the end of the video and you will be able to find that.
So let's continue this video, so they give you a $ 300 a year. Travel credit you get into a lot of airport lounges for free there's. Other perks, some of the new ones they introduced this week to go along with the higher fee are a $ 60 doordash credit free, lift pink membership, which gives you discounts and priority access at airports.
It's all about the experience these days. Some of the best credit cards are really tapping into people's; love of travel, dining ongoing value yeah. I don't wan na roast him. Okay. What I want to know is you're in the consumer credit card industry.
Do you have any feeling as to whether or not consumer credit quality is getting better worse or holding the same? It's, a good question, real quick. We see credit scores going up, people are keeping up with their bills, delinquencies are low, they're, not getting ahead, though.
Two-Thirds of credit card debt errs Oh at least as much now as they have over the past. That's. A good sign for the economy. They were any like that. Lady was just shutting him up, just to make sure they weren't going overtime, but guys that is really exactly the fastest way.
You guys can actually increase your credit score. This is I mean this is aired on national TV. It really is a marathon of paying off your bill on time every month. You could speed things up by increasing your credit limit, so it decreases your utilization, but at the end of the day this is not rocket science.
I you know these type of videos have hundreds and thousands of views on YouTube. I don't think this video right here will get that much like 2.3 million views on how to get an eight hundred credit score and it's as simple as this pay off your credit card in full on time.
If you guys want to like hack the system or or like now, if you're, someone who wants like hack the system and you don't want to wait the whole year worth length of time for your score. To increase the easiest and fastest way for you guys to actually increase your credit score, look into authorized users look into trade lines.
I do not do any trade lines that do not sell any authorized user accounts, because so many people email me about this. I do not do that because I don't want to get my accounts shut down, which has happened to other youtubers multiple times in this space, the hack or the