Video Summary & Highlights
Key Points:
- Credit cards significantly impact your credit score (30%), making them crucial for building or damaging it.
- Having and properly managing 2-3 credit cards (regular & charge) is ideal for a good credit mix.
- Maintain a low credit card balance: below 10% is ideal, below 30% is positive, above 50% is negative.
- Crucially: Understand the difference between statement date (balance reported) and due date (payment deadline). Pay before the statement date to avoid high balance reports.
Additional Insights:
- Not having credit cards hinders achieving a top score even with other loans (car, mortgage).
- Many underestimate the ideal balance percentage for maximizing their score.
Remember:
- This is a summary, so refer to the above video for complete details.
- Consult a financial professional for personalized credit score advice.
