Never exceeding 40 percent of your credit limit has a very beneficial effect on your credit score. This shows your credit limit is high but you have not burnt it up and have plenty in reserve. This logic helps you attain a much higher credit score. This is the same logic that suggests you should not close any credit card accounts, as they collectively will provide you a high credit limit, which is good for the score.

Your credit card can be the single most important factor in improving and increasing your credit score. On the other hand it can also plummet your score to dark depths if you are not careful. Think smart and use your credit cards to your advantage. Here is some pointers on what to do and what not to do in order to achieve this reality.

1. No debts so far. Opting for a brand new credit card for the first time

This makes sense for your credit score. Making use of a credit card judiciously will help you improve your credit score. Just make sure you open your credit card with a respected and popular brand name.

2. Opening a new credit card account

When you already have a couple of credit cards, opening a brand new credit card account can cause a dip in scores. By all means obtain a new credit card if you are not planning to get into more debt, else think several times before opting for one.

3. Low credit limit

Keep a tab on the credit limit of your credit card. Open a credit card account with a company that will provide you with the highest credit limit possible. High credit limits, even if they are not used will add merit to your credit score and improve it.

4. Closing credit card accounts

Even if you do not use your credit cards, don’t rush to close them. Keep them as long as you can. If you must close them, then do that over a period of time. Closing too many too quickly will harm your credit score significantly.

5. Choosing the ideal credit card to close

The number of years you hold a credit card account has an impact on your credit scores. Hence, let your oldest credit card be, if you must close a card opt for the most recent cards and close them one at a time, maybe once a month over a period of time.

6. Rotate usage of multiple credit cards

It is a smart move if you utilize different credit cards for your various different expenses instead of constantly using only one credit card for most of your purchases. Make it a point to use each credit card you have once in six months. Some credit card companies might even close your account if they feel you don’t use the card at all. In such instances, it affects your credit score. To be on the safer side, try and use every card from time to time.

7. Bargain for a lower interest rate

If you have never defaulted on a payment for a few years, make use of your good repayment track record and speak to the bank officials for a better bargain. Request them to lower your interest rate citing the good track record you hold with them. Keep following up with your bank from time to time and you may just get your wish!

8. Request for an increase in credit limit

You may have purchased your most recent card because of the higher credit limit. If at a later date you wish to close some of your cards and you know it makes better sense to close the most recent card, you have a dilemma. The most recent card has the highest credit limit. The oldest card has the lowest credit limit. What do you do? In such instances, if you have a good repayment track record, approach the bank and negotiate for a higher credit limit especially since you have been their customer for quite a few years. Most banks will oblige and you can then proceed to close the most recent card if you absolutely must do so.

9. Keep a self imposed credit limit, which is much lower than the actual credit limit

Never exceeding 40 per cent of your credit limit has a very beneficial effect on your credit score. This shows your credit limit is high but you have not burnt it up and have plenty in reserve. This logic helps you attain a much higher credit score. This is the same logic that suggests you should not close any credit card accounts, as they collectively will provide you a high credit limit, which is good for the score.

10. Paying off credit card dues quickly will dramatically improve your credit score

Try not to encourage too much credit card debt. Be wise and pay the dues quickly and keep rotating your cards. Paying off dues will cause a spike in your credit score, which is highly favourable. (Agencies)

People with lower incomes value the institution of marriage just as much as those with higher incomes and have similar romantic standards for marriage, a new study has revealed.

The new research suggests that government initiatives to strengthen marriage among low-income populations should move beyond promoting the value of marriage and instead focus on the actual problems that low-income couples face.

The study, which analyzed results from a survey of 6,012 people, was carried out by Dr Thomas Trail and Dr Benjamin Karney from the University of California Los Angeles.

Although previous research has shown that divorce rates are higher and marriage rates are lower among low-income populations in the US, the researchers found that on most measures low-income respondents held more traditional views towards marriage than respondents on higher incomes.

Although low-income and high-income respondents reported similar romantic standards and similar problems with relationship processes such as communication, low-income respondents were more likely than affluent couples to report that their romantic relationships were negatively affected by economic and social issues such as money problems, drinking and drug use.

“Over the past 15 years, efforts to tackle declining marriage rates and increasing divorce rates among low-income couples in the USA have been guided by assumptions about why there are fewer low-income marriages and why a higher percentage fail,” Trail said. “The aim of our study was to separate the myth from the reality,” he said.

Previous research has focused on specific low-income groups including unmarried mothers and cohabiting couples with children.

This study is the first to use a comprehensive survey to compare the attitudes and experiences of people from a range of incomes, and the findings provide important new information about how similar people with low- and high-incomes are in their values, standards, and experiences of marriage.

The researchers solicited the views of a stratified random sample of 4,508 Florida residents, with smaller random samples from California (500), Texas (502) and New York (502).

66 per cent of the respondents were female, 53 per cent were married and 61 per cent were white.

A further 14 per cent were Black and 19 per cent were from non-White or Black Latino/Hispanic communities. Interviews were conducted over the telephone and lasted an average of 27 minutes.

The average age of the respondents was just under 46 years. Self-reported income put 29 per cent in the low-income category, 26 per cent in the moderate-income category and 35 per cent in the high-income category.

Just under 10 per cent were receiving Temporary Assistance for Needy Families (TANF).

The team found that, compared to people with higher incomes, those with lower incomes held similar values toward marriage and were less likely to approve of divorce. However, lower income respondents were more likely than were higher income respondents to value the economic aspects of marriage, including the husband and wife having good jobs.

“Prompted by the belief that the institution of marriage is in crisis among the poor, the federal government has spent 1 billion dollars on initiatives to strengthen marriage among low-income populations,” Benjamin Karney said. “Often these are based on the assumption that there must be something wrong with how people on low incomes view marriage or that they just are not very good at managing intimate relationships,” he said.

Dr. Trail concluded by giving an overview of the study and its findings.

“We found that people with low incomes value marriage as an institution, have similar standards for choosing a marriage partner and experience similar problems with managing their relationships,” Trail said. “We suggest that initiatives to strengthen marriage among the poor should also take social issues into account, as they can place a tremendous amount of stress on a marriage,” he added. (Agencies)

Being unpopular in the class could make you ill decades later, a new study has revealed

Research has shown that the people who are socially isolated in their teens are more likely to suffer health problems from obesity to high blood pressure when they hit their 40s.

The legacy of unhappy schooldays was particularly noticeable among the women studied.

Importantly, the health effects weren’t limited to those who were bullied at school, implying that even being slightly socially isolated can be harmful to health.

Swedish researchers analysed data from a study that tracked the health and habits of around 900 16-year-olds for 27 years.

In the beginning, their teachers were asked to rate how extroverted or introverted they were and their popularity. At around the age of 43, they underwent a range of medical tests.

The results linked unpopularity and social isolation to obesity, high blood pressure, diabetes, bad blood fats and lack of ‘good’ cholesterol, the Daily Mail reported.

These problems are known as metabolic syndrome and greatly increase the risk of heart attacks and strokes.

The study also showed that the more unpopular someone was in their teens, the more likely they were to suffer from metabolic syndrome in middle-age.

The effect was more noticeable among the girls, with the most unpopular and introverted at 16 more than three times as likely to be in bad shape at 43. The researchers, from Umea University, added that their study is the first to show that unhappy schooldays can have such long-lasting consequences.

Various factors could lie behind the effect. For instance, loneliness raises levels of the hormone cortisol and can push blood pressure up into the danger zone for heart attacks and strokes.

High levels of cortisol can also suppress the immune system, raising a person’s vulnerability to disease.

The lonely also sleep more fitfully, feel lethargic during the day and are more likely to rely on sleeping tablets.

Those who feel left out may also resort to comfort eating and be less likely to look after themselves in general. (Agencies)