Kimani discussed on Red Hot Real Estate Show

Automatic TRANSCRIPT

In my life yeah yeah yeah my phone button but Kimani dinner who's going to clean my bathroom but yeah does not it does get better is just not necessarily that easy right right exactly so so you know when people say things to me like all my credit was terrible then I'm just destined for you know bad credit you know I I remind them that it affects everything your credit score affects what kind of car loan you're going to get how well how much you're gonna pay in car insurance what it just affects everything what kind of credit card you're offered everything it affects everything so you need a good score so that I can help you get a good score because did you know that it changed every month based off of like what you all and what your credit mix is and how much you owe on that credit card versus what the limit is and then if you pay that down the next month now it's a whole new number because new information that it's assessing let's talk about that so let's just say that you've got a credit card with a ten thousand dollar limit and you have a habit of maxing it out and then paying it off is that good or bad so on you know I'd like to do this will not Max it out but you know I dig the points that's what I'm after I'm only twenty points but if the if you Max it out and then pay it off and then Max it out and pay it off you really not telling the credit bureaus that you know how to manage debt you're telling them that you know how to Max it out and pay it off right it's not really managing that so what I'd suggest that to that person and and where the problem comes in our back up real quick is that depending on when I pull that credit report in the months are you maxed at that moment or had you just paid it off right in the middle where are you at with so it doesn't show like a longevity of right so most people would think you know I have the ability to pay that off some golden exactly so it's not necessarily golden it depends on when you pull exactly is that I sometime to do that so so your payments due on let's say the fifteenth and it takes about five days to pull so let me get can you do like any kind of calculated timing of the that's great I love it yeah I know so not really I mean okay because every credit card reports at a different date of the month to the credit bureau so it depends on when that rip and information is reporting what I generally tell people is if if I happen to pull it and you owed nine ninety nine on that ten thousand card or whatever then I tell them okay here's here's what I want you to do is you know you're just paying it off anyway every month so the next thirty days let's live on more of your cash instead of on your credit like you're used to doing then as we get closer to the end of the month when we see that your balance is closer to the bottom verses the top will pull then okay and then we're going to have a better at the end you know I can even do a simulation in my credit bureau toolbox it lets me say okay he only owes three thousand on the credit card now what with the score be pushed the button right now.

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