Your ability to borrow is one of the four factors in determining your financial health and supports you in creating and maintaining financial slack. We want you to know that we’re here to provide you with the tools and resources to ensure you’re healthy when it comes to borrowing.
We’re focused on relieving your stress when it comes to borrowing. Not only does that mean helping you by having loans available that can increase your financial slack, but also helping you build credit and manage debt – the two key ways your ability to borrow is determined.
A credit score is the basis of your ability to borrow. Start with taking a look at your credit score to see where you stand. There are many free resources such as www.annualcreditreport.com to get this information. To improve your score you have to look at the factors that go into it: paying on time, how long you’ve had credit, how much you use your available credit, the balances you still owe on your credit, how many times you apply for additional credit, and how much of your credit is still available to you if you need it. If you do not have any credit yet, we can help you determine the best way to start building based on your goals.
We’re here for you with resources to support you in building credit.
Virtual Financial Coach
Article: GreenPathWe can help connect you with our partners who are experienced in financial counseling.
Webinar: Options for Dealing with DebtOur friends at GreenPath are here to help you come up with a plan to get out of debt and reduce your financial stress.
Knowledge and skills you can use to help you create and maintain financial slack
Being able to manage your debt is an important way lenders determine your ability to borrow. You should take inventory of your debt payments each month, along with your other expenses and compare it to your income for the month. This is setting up your spending plan. With this strategy you can see if you can afford to pay down debts faster with any financial slack you find in your spending plan. Start by tackling the smallest debt first and then move on to the next. You can also look at possible debt reduction or relief programs. One way to make your debt payments more manageable may be through debt consolidation. This can be done with a new loan, using a home equity loan or even a credit card balance transfer.