Thursday, November 13, 2008

Rob Peter to Pay Paul and Come out a Winner

This trick is an oldie but goodie, the idea is to create fast positive credit to further boost your credit score. First you need to shop around and find two types of credit cards, one with a low interest rate and another that offers an interest-free period each having the same credit limit although one can have a bigger limit than the other. Once you have obtained both the credit card you will need to max out the interest-free credit card, so go ahead and shop till you drop.

Next you wait until your credit card bill is due and pay of the full balance with the low interest rate credit card, then next month pay off the low interest rate credit card with the interest-free credit card and continue this process for at least six months and you will receive a positive boost to your credit score. This can also be accomplished using small personal loans obtained from local banks or even a mix of one credit card and one personal loan assuming they are both able to cover the full balance of the other each month.

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