Page 30 - AAA Now – AAA Central Penn – January/February 2022

FINANCIAL SERVICES
How to Improve Your Credit Rating
Are you ready to improve your credit? Start with these steps:
Getting a higher credit score doesn’t have to be complicated or confusing. Once you understand how your credit score is calculated and how your daily decisions make it go up or down, you’ll be on your way to increasing your credit knowledge, confidence, and ultimately, your credit score.
But there’s no quick fix. Growing and maintaining your credit score won’t happen overnight, but it will happen if you practice patience and stick to your plan for success.
1. Pay your bills on time. Even if it’s just a few days past date, late payments will hurt your credit score. Set up automatic payments with your bank and creditors, so your payments are always on time.
2. Lower your credit utilization. Using too much available credit can lower your credit score. Experts suggest using less than 30%. For example, if you have two credit cards with $500 limits each, you should keep your total utilization below $300.
3. Close accounts with caution. Depending on how much available credit you have, closing an old or paid off account can increase your credit utilization, which could lower your credit score.
Changing your credit score is a journey. Following these steps can get to your destination of improvement. To learn more about achieving your financial goals with ProtectMyID®, visit AAA.com/IDTheft. With a suite of credit features such as Credit Monitoring, VantageScore1® Tracker, Score Variance Alerts, and Experian CreditLock, with ProtectMyID, you’re in control of your credit.
There are three different major credit reporting agencies, Experian, TransUnion, and Equifax that maintain a record of your credit history known as your credit file. Credit scores are based on the information in your credit file at the time it is requested. Your credit file information can vary from agency to agency because some lenders report your credit history to only one or two of the agencies. So, your credit scores can vary if the information they have on file for you is different. Since the information in your file can change over time, your credit scores also may be different from day-to-day. Different credit scoring models can also give a different assessment
of the credit risk (risk of default) for the same consumer and same credit file.
Shop BIG. Earn even BIGGER rewards.
For a limited time, earn 5x points1 on qualifying purchases at wholesale clubs
Earn extra points for the essentials you already buy! From January 1 through February 28, 2022, simply spend $600 or more at your favorite wholesale club using your AAA Member Rewards or AAA WorldPoints® card and earn 5x points on those purchases. Stocking up has never been this rewarding!
1Credit Card Bonus Points Offer: You will earn 5 points per dollar spent (consisting of 4 bonus points and 1 base point) on any combination of purchase transaction(s) made at wholesale clubs that have a transaction date from January 1, 2022 through February 28, 2022 when you spend $600 or more. If you make purchase transactions at wholesale clubs that total less than $600 during the promotional period, you will not receive promotional bonus points on those transactions. Purchases made through merchants other than wholesale clubs will not qualify for bonus points. Merchants are assigned a merchant category code (MCC). We do not determine which MCC a merchant chooses to classify itself. Your purchase may not qualify to receive the bonus earn rate if the merchant does not process transactions under the MCC that corresponds with this promotion. The value of this reward may constitute taxable income to you. You may be issued an Internal Revenue Service Form 1099 (or other appropriate form) that reflects the value of such reward. Please consult your tax advisor, as neither Bank of America, nor its affiliates, provide tax advice. Bonus points earned as a result of this promotion will not receive any Preferred Rewards/Preferred Rewards for Wealth Management Program Bonuses. Details are available at bankofamerica.com/preferredrewards. This credit card program is issued and administered by Bank of America, N.A. Visa and Visa Signature are registered trademarks of Visa International Service Association and are used by the issuer pursuant to license from Visa U.S.A. Inc. The Contactless Symbol and Contactless Indicator are trademarks owned by and used with permission of EMVCo, LLC. WorldPoints is a registered trademark of Bank of America Corporation. AAA is a registered trademark of American Automobile Association, Inc. ©2022 Bank of America Corporation. ©2022 AAA MAP3826740
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