bad credit?
ok so ive had a checking account for about 7 months now. ive gone into debt twice. buti managed to get myself out of debt in less than a day both of those times. but hte one time i had a check bounce and the second time was because i overspent on gas (surprise surprise). i just a lecture from my dad saying how my credits ruined now because ive gone into debt twice. but i thought that as long as u dont stay in debt, ur credit wont be affected that much. is my credit really ruined even if im out of debt?
Public Comments
- Getting yourself out of the debt and paying it off is good for lowering your score. Just make sure not to let it happen again. Your dad is like mine, when it comes to my finances he gets over protective. Talk to a professional at the bank about ways to improve your credit.
- ok for one to stay out of debt dont use a credit card or you can just dig your grave now AND credit report dot com baby lol you never saw their ads?... on your tv!!! tehy could probally help but not for sure!
- Calm down your fine. Banks do not report checking accounts to the credit bureaus unless you are seriously overdrawn and it goes to collections.
- You are not ruined. I had a few mis-haps a few years ago and my account was overdrawn. I now have a completely acceptable, if not pretty darn good credit score. Just try and stay on top of things more. Your real gambles are going to be with actual lines of credit. Learning to keep track of your checking account will prepare you for keeping track of credit card balances and payments. You are going to be just fine, don't worry.
- i think it really depends on how long your bills were past due, if they were past due at all. they look at how long you take to pay back your debts. if you paid them them pretty quick it probably wont hurt you at all, plus if you have other positive things on your credit report they will help. but yea unless you went into debt for alot of cash for alot of time, your fine,.
- Depends on what your debt was and how soon you paid. Not everything gets reported to the Credit Bureaus. If you didn't pay a credit card or loan then it might be a negative. And even then, in most cases you would have to be 2 months behind in payment before most places report. It sounds like your dad might just be trying to get you to be more responsible. And even if your credit gets bad, you can recover, especially if you are young. Just try to do better and eventually it will catch up.
- Debt... You're in debt when you owe a considerable amount of money over a considerable amount of time. How is it possible you can go in and out of debt in just 1 day? You're probably reffering to going negative in your bank account. No, that does not affect you credit score unless you neglect it. Things like car, credit card, shopping cards, loans, etc.. are what determine your credit score for the most part. Pay them ontime, pay more than your amount due, and never go delinquent in any account = GREAT CREDIT SCORE.
- Banks don't report your checking account activity to credit bureaus unless they close due to overdrafts. If they close it, they place you on chexsystems. This is a credit bureau that only financial institutions report to. If your name is on this bureau, you can't open an account anywhere for 5 years. Some banks may give you a second chance. After time, if the account has not been paid in full, they finally turn it over to a collection agency and then it gets placed on your credit report. Your dad is only scaring you. He wants you to get things together.
* Some answers may have been provided by Yahoo! Answers.