Do you currently have debt or loans? Make sure you manage it well. Don’t want it, right? However, many face chaos when loans are not managed properly. For example, using debt is not according to plan, but for consumptive purposes, such as buying new gadgets, traveling abroad, eating at restaurants, buying clothes, and others. As a result, you do not get results from loans that have been used because consumptive activities are just a waste of money. You will get income and profits that can be used again to pay the loan installments until it is paid off. You must have the right debt management strategy so that you get the max credit score.
You can use debt for productive things, don’t dig new holes or add new debt, save money, or cut non-urgent expenses so you can set aside more money to pay off debt. Let it be paid off quickly. Another way is to increase income, one of which is by working on the side. Managing loans or debt can also be done by paying bills on time. Make debt your top priority every time you receive a monthly salary or earn an income. If you need to pay debt bills before the due date. So that you do not incur interest charges and penalties for late bill payments. So there is no need to spend money that should not be spent. This can also prevent you from being rushed. Pay bills before the due date so you don’t feel like you’re being chased.
Your credit score is influenced by the way you manage debt. If you are late in paying your loan or debt installments, it will seriously threaten your credit score. A bad credit score will be a bad record for you to be able to apply for a loan again at a later time. Loan interest rates fluctuate. You can negotiate with the bank or lender to lower interest rates. Tell about your condition and ask for lower interest rates. Of course, low loan interest rates can affect the number of installments you will pay.