Now is a very special moment in your life. Maybe you’re established, have a few assets, and want to know the best way to manage them for the rest of your life. Others might be struggling with the idea of retiring late. You also have those who may feel they are running out of time and might be worried about their future. In all cases, understanding how to manage debt at this age is essential as your opportunities to earn start to dwindle. Let’s take a look at a few credit and debt management tips you can follow.
Look at all Your Options
If you need financing for something important and you feel like your credit isn’t good enough, you should know that there are still some options out there. You also have to make sure that your credit applications aren’t hurting your credit score.
If you need a loan and you have a steady income but aren’t sure you have the credit necessary, this broker may be able to assist. New Horizons has been connecting lenders with applicants for years and will look at your current income first and foremost when deciding if you should be eligible for credit or not. Lenders will soft search applicants so that your credit score isn’t affected and your search doesn’t leave a footprint on your credit score. Their loans can be repaid in installments and spread from 3 to 36 months, which will give you plenty of time.
Check Your Credit Score Often
You might think that there isn’t much to see on your credit report at this point, but you’d be surprised. You never know what can be there and it pays to keep a constant eye on your report for errors or inconsistencies.
You can get your credit report from major credit reporting agencies for a modest fee of £2 per copy per year. If you haven’t changed your habits or opened new accounts, your score should stay more or less the same. But if you notice any discrepancies, make sure to have them corrected right away.
Don’t Open too Many Accounts
If possible, try not to apply for too many accounts. We would usually advise that you look around and try to negotiate deals with suppliers, but now is not the time. The reason for this is that many suppliers, such as credit cards, utilities, or telecoms, will ask to check your credit score, and each of these inquiries will have an effect on your credit score. You may not have much time left to boost it, so you have to preserve it at any cost. Keep your applications to a minimum and make them count by only going for those you’re confident to get approved for.
Never Start Learning
It’s never too late to learn about finance and now is the perfect time to do so. Your financial literacy could make a difference between you living your retirement years comfortably and retiring early or having to catch on at a time when your body may not be able to follow.
This means that you should start learning about things like compound interest right now. It’s still not too late to take benefit of it and amass a nice nest egg by starting today. You don’t have to get an economics degree, but the more you’ll know, the better choices you’ll be able to make with your money.
Boost Your Credit
Also know that you still have tons of opportunities to get your credit back on track. Applying for credit could be tricky, but if you have the baseline score for it, applying for an additional card could be one way to up your credit profile. Make sure that you keep the debt on the card under the 30% limit and always repay on time.
Make sure that you’re on the electoral roll if you aren’t already. If you have accounts with issues, make sure that you address these right away. Try to make an arrangement and get them to agree in writing that payments will be reported to the credit agencies.
Another thing you should consider doing is setting up automatic payments. Some people are simply too forgetful to make payments on time, and it only takes one missed payment to set you back, so we strongly suggest you set up an automated system if you have the chance. Know, however, that some of these will only allow you to pay the minimum, so you’ll have to monitor your credit utilization if it’s a credit card and make sure that you’re always under the recommended limit.
These are all tips that you need to follow if you’re over the age and 50 and want to have a chance at being truly financially independent during your twilight years. Follow these tips to the letter and you should be one step closer to achieving your goals.