Tradelines are an important part of many businesses. They can be used for a number of things, such as providing proof that the company is authorized to conduct business in a specific area or making sure that the company has enough coverage in case anything goes wrong. Here are some common mistakes made when buying tradelines:
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1. Not Knowing How Tradelines Work
Tradelines are lines of credit that are opened and reported on your credit report. They help increase your credit score by increasing your average age of accounts, total account history, and the total amount of available credit. When you buy a tradeline, you’re essentially borrowing someone else’s credit history.
Don’t rely on salespeople to explain all the details regarding tradelines. Do your research to find out what tradelines are, how they work, and what you can use them for. You should also avoid buying tradelines from illegitimate sources.
2. Judging the Power of a Tradeline Strictly by Price
Tradelines are judged by their power, which includes the ability to lower utilization ratios and increase the average age of accounts. If an expensive tradeline won’t do this, then it will hurt your credit score.
Some people make the mistake of judging a tradeline strictly by price. They assume that the more expensive it is, the better the tradeline. However, there are many other factors to consider when buying tradelines. Make sure you check superior tradelines reviews for all of your options before making a decision.
3. Valuing Limit More Than Age
Another mistake made when buying tradelines is valuing the highest credit limit more than the average age of accounts. The older your account history, the better it looks to creditors and lenders even if you have a low or zero balance on that card right now. If possible, try not to close any existing lines of credit in order to keep your account history as old as possible.
The age of a tradeline is just as important as the limit. The older the tradeline, the more power it has. This is because the credit history associated with that tradeline becomes more reliable over time. Make sure you consider both of these factors before buying any tradelines.
4. Waiting Until Last Minute to Purchase Tradelines
Many people make the mistake of waiting until the last minute to purchase tradelines. If you wait too long, you may not have enough time to get your tradelines approved and up and running before you need them. When buying tradelines, give yourself plenty of time to go through your options and make a decision to help you avoid unnecessary stress.
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5. Asking for a Specific Credit Score
When you buy tradelines, you’re buying the credit history associated with that tradeline. Some people make the mistake of asking for a specific credit score when they buy tradelines, but this isn’t possible. The credit score will be different every time it’s pulled. Make sure you understand how tradelines work before you buy one.
The best way to get an idea of what your tradelines’ scores are is by using the FICO scoring model as a general guideline for how well your tradeline will work. Sometimes you might be able to find out your Tradeline’s exact ‘Fico Score,’ but it can vary depending on which company you buy it from. Just make sure that any tradelines you get are of high quality and should help improve your credit score.