In 2017, the average credit card debt in Arizona, per household, stands at $6,313. This number is fairly big, and indicates that a lot of Arizona consumers carry high credit card balances. Unfortunately, large credit card balances often cause drops in credit scores, even if cardholders make payments on time. This is because most credit scoring models factor in credit utilization rates. In the eyes of lenders and creditors, using too much of your available credit indicates financial strain and makes you a credit risk. Therefore, one of the easiest ways for Arizona consumers to increase their credit scores is to pay down high credit card balances and lower their utilization rates.
Of course, in order for Arizona credit card users to have more money to put toward their balances, they need to make room in their budgets. Typically, the only way to do this is to cut back on unnecessary expenses. For example, many Arizona consumers have expensive coffee habits that they don’t even think about. Because they only spend a little at a time, they don’t consider the overall expense of frequenting a popular coffee establishment every single day. However, cutting out this particular habit could save some Arizonians $100 or more.
How Arizona Consumers Can Improve their Credit Scores by Brewing Coffee at Home
There is an incredibly popular coffeeshop chain that everyone knows about. They have locations throughout Arizona and every other U.S. state, and their patrons are fiercely loyal. Of course, these patrons normally spend $4-$5 every time they visit. Also, it isn’t uncommon for fans of the chain to visit and purchase a beverage every single day.
Arizona consumers who spend $5 a day, five days a week, on coffee from this chain end up shelling out $25 a week and $100 a month on their habit. Then, if they go on the weekends too, that adds brings their monthly total to $140. This is a lot of extra money that could go toward credit card balances and, ultimately, credit score improvement.
Of course, no one expects Arizona coffee lovers to completely abandon their favorite drink. However, by brewing coffee at home, they could save a ton of cash. They can even buy and brew pricier coffee and still pay far less than they do at the big, popular chain.
For example, the cost of one of the trendiest make-at-home coffee brands comes out to about 25¢ a cup. So, even if Arizona java-junkies want to drink three or four cups of this particular coffee instead of going out for coffee, they still save tons of cash. Then, all of this saved money – possibly $1,200 a year or more – can go toward credit card debt and building an emergency fund. Both of these things are important parts of building or rebuilding good credit scores.
Another Way for Arizona Consumers to Protect their Credit Scores
Interestingly enough, this huge coffeeshop chain just announced its new co-branded Visa credit card. Now, Arizona consumers can spend too much for coffee when they buy it, then pay extra in interest charges if they don’t pay their credit card balance in full. Granted, the card does come with rewards on coffeeshop purchases. However, Arizona coffee drinkers must maintain expensive habits in order to cash in.
Arizona consumers who are serious about paying down high credit card balances and improving their credit scores should regularly check their credit reports. Unfortunately, about 80% of Arizona credit reports contain errors of some type, and many of these inaccuracies harm credit scores.
Luckily, the Fair Credit Reporting Act (FCRA) gives you the right to accurate credit reports. You can find mistakes and errors on your credit reports and demand their removal. Just visit www.annualcreditreport.com, and request free copies of your credit reports from TransUnion, Equifax, and Experian. The Fair and Accurate Credit Transactions Act (FACTA) allows you to do this once every 12 months.
If, while going over your credit reports, you find credit score damaging errors, contact Credit Repair Lawyers of America in Arizona. When you give us a call, an experienced credit repair attorney will do whatever it takes to get you clean credit reports at absolutely no cost to you. So, skip the frustration of handling the dispute process on your own. Instead, let us fix your credit issues quickly, legally, and for FREE.
How Arizonians can Get a Free Credit Repair Lawyer
Don’t let errors on your credit reports bring your credit score down. At Credit Repair Lawyers of America, we’ve been cleaning up credit reports for consumers since 2008 for free. How do we do it? All of our fees come from the defendants in settled cases. This is why our clients pay nothing for the work we do.
Let’s start the conversation about what we can do for your credit. Set up your free consultation today by calling Attorney Gary Nitzkin at (480) 771-6001 or contact us on our contact page.
For more information about Free Credit Repair, please visit https://creditrepairlawyersam.com/arizona/credit-repair/.