Did you know that simply having a mix of accounts is 10% of your overall credit score?!
A mix of accounts can show that you know how to manage all types of credit. It is good to have a history of repaying an installment loan, such as a car or student loan, but a revolving account, such as a credit card, demonstrates more clearly that you can responsibly manage credit because you have to control how much you charge and pay each month.
It’s easy to ask a creditor to increase your credit line on an account as well – this way the unused balance will be larger which also helps.
If you have questions re: consumer/bankruptcy/student loans, please reach out to us at Arkovich Law We usually can find a solution to most every problem!