Summary:
In
all, always make sure you pay your bills on time or else you may find
yourself without a working cell phone and a lower score. Regardless
of how you decide to pay your cell phone bill, remember to pay your
bill on time and in full to avoid fees, charges, and damage to your
score.
After
paying for a roof over your head, keeping the lights constantly on, a
cellphone bill and a device that comes with it is most likely going
to be the next thing on the list of top necessary monthly expense.
Here
not all bills are the same especially when it can influence your good
credit score. Unlike some monthly expenses, like your mortgage or a
car payment, paying your cell phone bill can affect your credit in a
different way. In the first place you most likely need a good credit
score to get a cellphone but the manner in which your cell phone bill
is paid for could either hurt your score or not affect it in any way.
Missing
a Cellphone Payment
Like
every other bill, if you miss a payment or you are not fast about
settling your bill, this will greatly affect your good credit score.
Some cellphone companies might decide to switch off your service when
there is a delay in your payment. But considering the fact that you
don’t have a working cellphone, you still carry an outstanding
cellphone bill which is unpaid for. Beyond just shutting off your
service, you cellphone company will go ahead and report your missing
payments to the bureaus and will send your debt to the collection
agency which will greatly harm your good
credit score range.
Any account that has gone as far as that could be pending on your
report for as long as seven years.
Paying
a Cell phone Bill on Time
It’s
normal to assume that paying your cellphone bill on time will boost
your good credit score if missing your cellphone bill will reduce
your good credit score. But the truth is if you are just paying your
cellphone bills directly each month with cash, check or directly
deducting it from your account automatically, it won’t have any
impact on your good credit score. As long as the cellphone company
has not extending any line of credit, your timely payment will not be
report to the bureau.
Paying
a Cell phone Bill on Time Using a secured Card
In
a situation where by you don’t want to link your cellphone bill to
your credit card or you do not have enough credit to get a credit
card, here is an alternative way that will help you improve your good
credit score. It is known the secured card. Just like a debit card,
the amount of money you can charge to your secured card is limited to
the exact amount which you out down on your card. . If you don’t
qualify for a traditional credit card, it’s significantly easier to
qualify for a secured card at a bank or union. And the issuer will
report your secured card to the card bureaus, which means you are
building history by paying your cell phone bill.
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