A credit memo is a kind of registry note for financial centers or banks. Thanks to this note, people can work together with banks in case of need. The credit note reflects the profile of the people in the bank’s eyes. In other words, it would not be wrong to say that the bank means a kind of identity in the sector.
The credit note is processed when the people go to the bank when needed. Applications for credit card usage are affected by the credit note of credit withdrawal applicants. Thanks to the credit note, you can check your past payment habits or your payment patterns. As an example of this, the amount of credit you have requested has declined considerably compared to your credit rating.
This note is influenced by the reasons such as how often, how often, and whether the payments are regular or not, in which bank credits are taken earlier. In addition, the income situation of the persons, the relations with the banks in the past or near term, the account cards used in the banks and the counters included in these account cards affect the exchange of such notes.
Credit grades are never stable. The full payment of the amount due will naturally reduce the credit rating. However, this note can fall even after the shortest period of payment. And even if your score drops by one point, there can be many changes, and even with fractions of zero drop points, it is possible to encounter some problems in your future bank transactions.
It is not possible for credit ratings of those who have paid their credits regularly and systematically to pay their credit card payments. Thanks to the high grade, these people are highly supported by the banks in case of any need. Because credit ratings are the identity of the person in the eyes of the bank, high credit ratings will ensure that the banks have confidence in the person. Besides these supports, different payment methods and payment facilitation are provided besides the option of giving higher credit amount.
So, how does a Credit Note fall?
There are many different reasons for the drop in the credit rating. One of these is the minimum payment we all made. Minimum payments are the easiness of payment by the banks to the customers, but they are a negative method for the credit rating.
The credit ratings of those who make credit card payments or credit payments on a minimum basis are greatly reduced. In order to prevent this fall, you have to pay the total debt, if you have the possibility, not the minimum amounts. In this way, you can prevent your credit score from falling. The payment of a one-time minimum does not result in large decreases, but it causes large declines in long-term yields.
Delay of Payments
Another reason is that all of us are late for payments like the future. Even 1 day delay on loan payments or credit payments affects the credit rating. These delays cause significant reductions compared to minimum payments. Paying your credit by 1 day late and paying by 30 days late are all affecting your grade. Therefore, the payment must be made one week before the payment in accordance with the financial situation of the person. Or the day must be paid for the day. You will not only be able to prevent this from happening, but you will also be able to increase your credit score through regular payments.
Non-fiction, Non-working status
Another reason is non-working status. If the bank’s customers do not have insurance or if they are not in any business they will not be accepted by the banks. These requests were approved some time ago, but thanks to the new designs issued in the bank in 2013, credit card usage is not recognized. This is a kind of transaction to protect customers. The amounts to which banks can not pay for non-solvency persons are not delivered. Thanks to the latest designs, this process is completely forbidden.
Becoming a Voucher
One of the other causes is to be a guarantor with a very unknown. Some of us are vouchers to help people in our circle because our credit score is high. However, the credit ratings of those who are sponsored are also affected by the credit ratings of the individuals. Thanks to those who do not make their payments smoothly and day by day, the credit note of the person who guarantors, even if not in the same position, This means that the people to be vouchers must be carefully selected. The guarantor can reduce your credit rating through irregular payments, as well as regular and systemic payments. Therefore, the choice of a person to be a guarantor is very important.
Usage Status of Bank Accounts
Almost everyone does not have a credit card, but it has a bank card and a bank account. The amounts in the banks of people affect the credit rating. The credit ratings of people with high account balances are positive, and the credit ratings of those who have low account balances as well as we can predict are affected negatively. In addition to this change, for example, you have more support for credit card use and credit withdrawals from your A bank thanks to your high-volume account located in X bank. You can not get much support from the bank for your low-volume counterparts in bank Y.
All of the above mentioned factors affect credit ratings in a big way. Thanks to these changes, the banks are given different answers in response to the needs of the next generation of people. Those who make one or more of these situations are unwittingly dropping credit ratings. The scores between 0 and 1100 points are determined as low by the banks. Those who have a credit rating between 0 and 900 are having difficulty in taking credit, while those between 900 and 1100 can not withdraw without a guarantee. The credit card limits given to the person in this note are also very low.
So, How to Raise a Credit Rating?
The most important condition for the upgrading of the credit memorandum is that the borrowers are not borrowers. As there is no debt, there will be no reason for the credit note to fall. The payment of outstanding debts and delaying the payment of outstanding debts will significantly affect credit ratings in the positive direction.
Thanks to the new regulations in force, even if people now pay their bills and installments on a regular basis, the credit rating affects positively. However, the credit note, which was previously only important to banks, will change to minus points if bills are no longer paid regularly.
Another option to be able to raise the credit rating is to vouch for it. As we talked about, the guarantor affects the person who guarantees as much as he himself. So it is very important to choose the person who is the guarantor well. Thanks to those who make regular payments on this page, both the credit note of the person who has the credit and the credit note of the person who guarantors rise regularly and quickly.