Two days ago, I made $225 and improved my credit score by 20 points. Talk about a win-win! How would you like to do the same thing? No, this is not a gimmick that will cost you thousands of dollars in the near-future. It’s a simple, logical way to earn money while improving your credit score. But, before you read on, you have to promise me that you will be responsible with your money if you decide to follow my lead. Promise? Ok, good. Let’s figure out how to improve your credit score!
I Researched my Credit Score
A few months ago, I came to the realization that my credit score is actually important. While I pay for nearly everything with cash (yes, including cars), a good credit score is still necessary when it comes to job interviews. You might think this is absurd, but it’s true. One of the best tools employers have to identify your character is to pull your credit score. If your score is lousy, they assume that you don’t pay your bills and will be a terrible employee. If your credit score is amazing, then they figure you have strong character and will be a model employee. It’s a bit of a stretch, but it’s just how things are done.
Now, I don’t want to leave my current job at this point (it’s a good one), but if something were to happen and I found myself jobless, I don’t want to be worried about my credit score on top of finding a job. Nope, I’d rather think ahead and build my credit score to 800 or more. After all, taking these actions can only help me in the future.
Thanks to CreditKarma.com, I was able to pull my TransUnion score absolutely free (you can do it too by clicking the banner on the right – it’s an affiliate link, but still does not cost you a thing)! Not only that, but by creating an account, they were able to tell my why my credit score wasn’t as high as it could be. For me, I didn’t have enough lines of credit open (which is obvious – the only credit lines I have open are my mortgage and my one credit card) and I didn’t have enough borrowing power. In other words, it would be best for me to get another credit card in order to raise my credit limit, which would allow me to borrow less of my total limit, which would then raise my credit score over time!
The Credit Card Search
Now, I’m no dummy. I know that there are many credit companies that are all fighting for me to open an account with them, so I wanted to take my time and find out which one would pay me back the most money. I searched for a couple of days and then I found it. This card had no fees, had a relatively low interest rate (which doesn’t really matter to me, because I always pay off my balance each month), and offered a bonus 20,000 points if I spent more than $1,500 in the first 3 months.
Since I am taking classes for my MBA, I had a bill coming up that totaled $3,000. I waited just long enough to make sure this payment would be made within the introductory 3 month period of the card. As it turns out, I timed it perfectly. I got my card about 2 weeks ago and received my bill for class soon after. Between the bonus 20,000 points and the additional 3,100 points I got for the school payment, I earned 23,100 reward points, which equated into $225 worth of gift cards! Plus, I took a look at my credit score and sure enough – I have jumped 20 points since last month!
And, practical me, I just ordered gift cards for items I would have purchased anyway. Their selection of gas cards was poor, but they had Walmart gift cards! So, I will just do my grocery and clothes shopping at Walmart for the next few months and it will be just like receiving that money in cash! I love it!
Would you open a credit card account just to earn the reward points?