When I decided to start looking for a home, I thought I’d better start pumping up my credit rating so that I could get a decent mortgage rate. My credit wasn’t marred, but I’m actually a foreigner and had never had a U.S. credit card, so my credit was a little wimpy.
The solution? I went out and bought a whole bunch of lingerie at Victoria’s Secret on store credit (hey, it’s tough, the sacrifices you make for homeownership). I had a little splurge at Nordstrom, too, and also got my first credit card. Then I made sure that I paid them down gradually over the last two years, and now I maintain a low debt-to-credit ratio. To top it off, I made sure that my name was on the People’s Energy bill, as I’ve heard that it’s the only utility that reports to credit agencies. I’m not sure which method worked the best, but I like to think it was Vic’s Secret who came through for me. My scheme did wonders for my credit-rating – and for my self esteem.
I’ve now hidden the Victoria’s Secret card away, and every few months the company sends little freebie gift vouchers hoping to entice me back for another binge. Instead, I march into the store, pick up my freebie and run away.