Most consumers understand that bankruptcy or foreclosure is going to tank their credit score and then negatively impact it for the next seven years, but there are plenty of other small mistakes a consumer can make that can turn a good score of 750 or higher into a mediocre 680.
Here are some of the more common mistakes to steer clear of, plus tips on how to avoid them in the future.
Opening Too Many Accounts at Once
Credit card sign-on bonuses are certainly enticing, but you shouldn’t be signing up for every card that’s offering some cash back. This is because each application and subsequent credit pull will generate a hard inquiry that will appear on your credit report. (Credit pulls that aren’t used to decide whether you are actually getting a loan – for instance, one conducted by a landlord or by a bank when you are looking to get a checking account – are considered soft inquiries and will have no impact on your score.) Read more......