****Happy St. Patricks Day**** Credit Tip: Using Prepaid Debit Cards does not help your credit score. A lot of borrowers have the misconception that prepaid debit cards and credit cards are equally good credit-building tools. They’re not. Prepaid cards “don’t do anything to help build or rebuild your credit and are not a viable long-term plastic solution. Although some prepaid card issuers say they help build credit, none currently report to the three major credit bureaus. Instead, a secured credit card, which requires you to put up a cash deposit equal to the amount you can spend. The effect on your cash flow is the same as with a prepaid card, but you’ll be building a credit history. Check the fine print to make sure it reports to at least one of the big three (TransUnion, Equifax or Experian).
Posted on: Mon, 17 Mar 2014 21:35:04 +0000
Trending Topics
Recently Viewed Topics
© 2015