Money Talks News: The most common credit mistakes - News, Weather, Sports, Toledo, OH

Money Talks News: The most common credit mistakes

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Money Talks News -

Most Americans use credit, so of course you would think that most Americans would know how things like credit scores work.

But as it turns out, people often make mistakes when it comes to credit and they're pretty common. How many have you made?

The first mistake is closing unused accounts. When you're done with a credit card, unless there's an annual fee, don't close the account and there are two reasons why you shouldn't.

Lowering your available credit can also lower your credit score. Credit history matters, so if that card has been with you for a long time, you don't want to close out the account, just stop using the card.

Another mistake is maxing out your cards. This can hurt your score. You're better off using half the available credit on two cards than all of it on one.

Another simple mistake is not reviewing your credit.

According to Credit.com, 40 percent of Americans don't take the opportunity to look at their free credit score.  A lot of the reports have mistakes. Go and look at it and make sure it's OK here.

Another mistake is Cosigning loans or otherwise becoming responsible for someone else's debt. All downside, no upside.

And one last credit mistake is not getting help when you're in debt trouble. It's available for free. Ro learn more about credit mistakes, or how to find that free help, head to the Money Talks News Website and do a search for credit. 

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