Many don’t even know they have a bad credit history and discover the reality at the worst possible time. Below, you can know how to build credit and where to get a high risk business loan with ease.
Credit Score & High Risk Business Loan
Based on the FICO scoring system, which is the most famous one, a score of 670 or above is regarded as good, and a score of 800 or above is viewed as excellent. ACRA (Credit Reporting CJSC) and the Fair Isaac Services Limited Company were the developers of this system.
When applying for merchant funding, credit scores play an exceptional role in whether you’ll get approved for financing or not, or what terms you’ll be offered. Thankfully, there are exceptional alternative online lenders that are ready to work with merchants who have zero or poor credit.
A reputable merchant funding provider is the source of the fastest access to the capital you need. If you lack good credit, turn to a respectable alternative online lender in the high risk space for the safest and cheapest high risk business loan in the industry.
How to Get Your Credit in Order
Let’s go through the important steps you need to take if you want to improve your poor credit:
1. Check Your Credit Report on a Regular Basis
Based on the Fair Credit Reporting Act, you can check your credit report with Experian, Equifax, and TransUnion for free once a year.
2. Consider Becoming an Authorized User
You can also become an authorized user on someone else’s credit card.
3. See Whether Everything Is OK on Your Credit Report
Any doubtful note on your record should be disputed.
4. Apply for Credit Card With a Limited Balance
By using a credit card with a limited balance and paying off the balance on a monthly basis is another option to try.
5. Work on Keeping Your Credit Inquiries to Minimum
Credit inquiries affect your credit score. So, avoid making frequent requests.
6. Make Your Bill Payments On Time
Monthly utility and cell phone bills must be made without delay.
7. Get a Secure Card & Use It Responsibly
This way, the information will go to the credit reporting bureaus, thus improving your credit score.
So, credit plays a vital role in your financial life. No matter, you have credit or lack it, working on building and improving your credit is critical to your success.
Author Bio: Michael Hollis is a Detroit native who now lives in Los Angeles. He is an account executive who has helped hundreds of business owners with their high risk business loan solutions. He’s experimented with various occupations: computer programming, dog-training, scientificating… But his favorite job is the one he’s now doing full time — providing business funding for hard working business owners across the country.