Money Management

[[{“value”:”Image source: The Motley Fool/Upsplash
Nobody’s perfect, so the saying goes. But when it comes to credit scores, a small but mighty group of Americans are as close as it gets.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. As of the third quarter of 2023, roughly 1.54% of U.S. consumers had a FICO® Score of 850, according to Experian data. Since FICO® Scores range from 300 to 850, that represents a perfect score.Achieving a perfect credit score is no small feat — it’s a rare accomplishment for anyone. But the data shows that some habits may give you a better shot at perfection. While numerous factors go into determining your credit score, the following three habits tend to pop up among consumers with perfect scores.1. They have several credit cardsIf you thought having several credit cards would damage your credit score, the data might make you reconsider.The average consumer with an 850 credit score had 5.8 credit cards, according to Experian data. In comparison, the average number of credit cards for all consumers was 3.9 cards per person.To be fair, the number of credit cards itself likely doesn’t affect your credit score, as if 5.8 cards is the golden ratio (how do you get 0.8 cards?). Rather, as I’ll explain below, more credit cards likely increases your overall credit limits and therefore decreases your credit utilization, which makes up 35% of your credit score.But if you’ve been concerned about getting a new credit card because you think it might damage your score, this data might reassure you. Carrying several credit cards at once is fine, as long as you can keep track of them, pay them off, and benefit from their rewards. If you’ve been holding out on opening a new credit card, give our curated list of the best cards a quick peek.2. A perfect payment recordThe average consumer has 1.5 delinquent accounts on their credit history. Consumers with perfect credit, however, have zero late payments.A payment is considered “late” when it’s at least 30 days past due. It can devastate your credit score. In fact, missing just one payment by 30 days or more could drop a good credit score by 100 points or more. Although the exact damage will depend on how late your payment is and what your credit score was before the late payment, having one can make it difficult to build credit thereafter.One way to help consumers make payments on time is using a credit card with a 0% promotional rate. These cards typically give you 12 to 21 months to pay your account in full before the interest rate kicks in. If you can pay off the card’s balance before the promotional period, you won’t pay a cent of interest.3. Low credit utilization ratioConsumers with perfect credit scores have two things going for them: They typically have a low credit card balance and (therefore) a low credit utilization ratio. In concrete numbers, those with perfect credit scores have an average $3,028 balance and use 4% of their total credit limits.A credit utilization ratio is a measure of your credit card balances and credit limits. For instance, if you have two credit cards with a total of $14,000 in credit limits between them, then a balance of $7,000 would make your credit utilization 50%.The lower your credit utilization, the more you’ll help your credit score. While some people tout the 30% rule — that is, you shouldn’t carry a balance greater than 30% of your total credit limit — I would suggest aiming for 10% or lower. If you can get your credit utilization down to 4%, you would be in the company of perfect credit scores.To be sure, having a perfect credit score doesn’t grant you privileges that other consumers can’t get. In fact, a credit score of 670 to 700 is typically all you need to satisfy the credit score requirement on most credit cards. Rather than trying to get a perfect score, focus on paying your credit card bills on time, keeping your credit utilization ratio low, and using credit cards that pay rewards on your everyday spending.A perfect credit score is a consequence of good credit habits. Do these things and you might one day become a member of the 850 club.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.”}]] [[{“value”:”

Nobody’s perfect, so the saying goes. But when it comes to credit scores, a small but mighty group of Americans are as close as it gets.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

As of the third quarter of 2023, roughly 1.54% of U.S. consumers had a FICO® Score of 850, according to Experian data. Since FICO® Scores range from 300 to 850, that represents a perfect score.

Achieving a perfect credit score is no small feat — it’s a rare accomplishment for anyone. But the data shows that some habits may give you a better shot at perfection. While numerous factors go into determining your credit score, the following three habits tend to pop up among consumers with perfect scores.

1. They have several credit cards

If you thought having several credit cards would damage your credit score, the data might make you reconsider.

The average consumer with an 850 credit score had 5.8 credit cards, according to Experian data. In comparison, the average number of credit cards for all consumers was 3.9 cards per person.

To be fair, the number of credit cards itself likely doesn’t affect your credit score, as if 5.8 cards is the golden ratio (how do you get 0.8 cards?). Rather, as I’ll explain below, more credit cards likely increases your overall credit limits and therefore decreases your credit utilization, which makes up 35% of your credit score.

But if you’ve been concerned about getting a new credit card because you think it might damage your score, this data might reassure you. Carrying several credit cards at once is fine, as long as you can keep track of them, pay them off, and benefit from their rewards. If you’ve been holding out on opening a new credit card, give our curated list of the best cards a quick peek.

2. A perfect payment record

The average consumer has 1.5 delinquent accounts on their credit history. Consumers with perfect credit, however, have zero late payments.

A payment is considered “late” when it’s at least 30 days past due. It can devastate your credit score. In fact, missing just one payment by 30 days or more could drop a good credit score by 100 points or more. Although the exact damage will depend on how late your payment is and what your credit score was before the late payment, having one can make it difficult to build credit thereafter.

One way to help consumers make payments on time is using a credit card with a 0% promotional rate. These cards typically give you 12 to 21 months to pay your account in full before the interest rate kicks in. If you can pay off the card’s balance before the promotional period, you won’t pay a cent of interest.

3. Low credit utilization ratio

Consumers with perfect credit scores have two things going for them: They typically have a low credit card balance and (therefore) a low credit utilization ratio. In concrete numbers, those with perfect credit scores have an average $3,028 balance and use 4% of their total credit limits.

A credit utilization ratio is a measure of your credit card balances and credit limits. For instance, if you have two credit cards with a total of $14,000 in credit limits between them, then a balance of $7,000 would make your credit utilization 50%.

The lower your credit utilization, the more you’ll help your credit score. While some people tout the 30% rule — that is, you shouldn’t carry a balance greater than 30% of your total credit limit — I would suggest aiming for 10% or lower. If you can get your credit utilization down to 4%, you would be in the company of perfect credit scores.

To be sure, having a perfect credit score doesn’t grant you privileges that other consumers can’t get. In fact, a credit score of 670 to 700 is typically all you need to satisfy the credit score requirement on most credit cards. Rather than trying to get a perfect score, focus on paying your credit card bills on time, keeping your credit utilization ratio low, and using credit cards that pay rewards on your everyday spending.

A perfect credit score is a consequence of good credit habits. Do these things and you might one day become a member of the 850 club.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”Image source: Getty Images
If you’re a Costco member or thinking of becoming one, you’re probably already aware that the warehouse club has great deals on gas. In fact, the savings on fuel is one reason why many people join Costco in the first place.Top credit card to use at Costco (and everywhere else!)
We love versatile credit cards that offer huge rewards everywhere, including Costco! This card is a standout among America’s favorite credit cards because it offers perhaps the easiest $200 cash bonus you could ever earn and an unlimited 2% cash rewards on purchases, even when you shop at Costco. Add on the competitive 0% interest period and it’s no wonder we awarded this card Best No Annual Fee Credit Card.
Click here to read our full review for free and apply before the $200 welcome bonus offer ends!Although you may be aware that Costco’s gas is cheap, you may not know a few other details about fueling up at your warehouse club. Here are three facts about Costco gas stations that you should learn if you want to be a more informed consumer.1. Stations are one wayAt most gas stations, you have to be strategic when pulling up to a pump to make sure the gas hose is on the correct side of your vehicle. But that’s not the case at Costco.Costco stations are one-way, which means all the traffic flows in the same direction. You can pull up to whatever pump happens to be open, and Costco’s extra-long fuel hoses will still make it possible to fill up your vehicle.This may be weird and a little confusing the first time you go, but the warehouse club has indicated that it opted to keep stations one-way in order to make things more efficient. You can get in and out of the station faster.2. You don’t get the Executive rewards on Costco gasWhile there’s a lot to love about Costco gas, there’s one downside: If you’re an Executive Costco member, you get 2% rewards on most of your purchases at the warehouse club. Sadly, gas is not one of those purchases. This can be a major disappointment if you get gas at Costco regularly and are hoping to earn rewards when you fill your tank.The good news is you can earn cash back on Costco gas purchases — click here to check out the best credit cards for Costco. We’ve hunted down cards that allow you to maximize the rewards you earn on gas and other warehouse club purchases so you can rack up rewards whenever you’re fueling up, whether you’re filling your tank or finding delicious snacks to fill your belly.You can also check out our complete Costco guide for other tips on making the most of your Executive membership, even when you can’t use gas purchases to max out your rewards.3. The gas is TOP TIERFinally, you may be surprised to find that the gas at Costco isn’t just cheap but is also really high quality. In fact, it’s been awarded the TOP TIER designation, which means it’s a better quality fuel product that can help you maintain your vehicle by keeping your engine cleaner.Getting cheaper gas at a station that’s more convenient is a win-win, so you should be happy to learn these details about both the gas quality and the fact the station is one way.Just remember that you aren’t going to get those Executive rewards so you don’t end up disappointed. If getting cash back on gas purchases is a priority for you, use a credit card that will make that happen.Top credit card to use at Costco (and everywhere else!)
We love versatile credit cards that offer huge rewards everywhere, including Costco! This card is a standout among America’s favorite credit cards because it offers perhaps the easiest $200 cash bonus you could ever earn and an unlimited 2% cash rewards on purchases, even when you shop at Costco. Add on the competitive 0% interest period and it’s no wonder we awarded this card Best No Annual Fee Credit Card.
Click here to read our full review for free and apply before the $200 welcome bonus offer ends!We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.Christy Bieber has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool recommends Flow. The Motley Fool has a disclosure policy.”}]] [[{“value”:”

If you’re a Costco member or thinking of becoming one, you’re probably already aware that the warehouse club has great deals on gas. In fact, the savings on fuel is one reason why many people join Costco in the first place.

Top credit card to use at Costco (and everywhere else!)

We love versatile credit cards that offer huge rewards everywhere, including Costco! This card is a standout among America’s favorite credit cards because it offers perhaps the easiest $200 cash bonus you could ever earn and an unlimited 2% cash rewards on purchases, even when you shop at Costco.

Add on the competitive 0% interest period and it’s no wonder we awarded this card Best No Annual Fee Credit Card.

Click here to read our full review for free and apply before the $200 welcome bonus offer ends!

Although you may be aware that Costco’s gas is cheap, you may not know a few other details about fueling up at your warehouse club. Here are three facts about Costco gas stations that you should learn if you want to be a more informed consumer.

1. Stations are one way

At most gas stations, you have to be strategic when pulling up to a pump to make sure the gas hose is on the correct side of your vehicle. But that’s not the case at Costco.

Costco stations are one-way, which means all the traffic flows in the same direction. You can pull up to whatever pump happens to be open, and Costco’s extra-long fuel hoses will still make it possible to fill up your vehicle.

This may be weird and a little confusing the first time you go, but the warehouse club has indicated that it opted to keep stations one-way in order to make things more efficient. You can get in and out of the station faster.

2. You don’t get the Executive rewards on Costco gas

While there’s a lot to love about Costco gas, there’s one downside: If you’re an Executive Costco member, you get 2% rewards on most of your purchases at the warehouse club. Sadly, gas is not one of those purchases. This can be a major disappointment if you get gas at Costco regularly and are hoping to earn rewards when you fill your tank.

The good news is you can earn cash back on Costco gas purchases — click here to check out the best credit cards for Costco. We’ve hunted down cards that allow you to maximize the rewards you earn on gas and other warehouse club purchases so you can rack up rewards whenever you’re fueling up, whether you’re filling your tank or finding delicious snacks to fill your belly.

You can also check out our complete Costco guide for other tips on making the most of your Executive membership, even when you can’t use gas purchases to max out your rewards.

3. The gas is TOP TIER

Finally, you may be surprised to find that the gas at Costco isn’t just cheap but is also really high quality. In fact, it’s been awarded the TOP TIER designation, which means it’s a better quality fuel product that can help you maintain your vehicle by keeping your engine cleaner.

Getting cheaper gas at a station that’s more convenient is a win-win, so you should be happy to learn these details about both the gas quality and the fact the station is one way.

Just remember that you aren’t going to get those Executive rewards so you don’t end up disappointed. If getting cash back on gas purchases is a priority for you, use a credit card that will make that happen.

Top credit card to use at Costco (and everywhere else!)

We love versatile credit cards that offer huge rewards everywhere, including Costco! This card is a standout among America’s favorite credit cards because it offers perhaps the easiest $200 cash bonus you could ever earn and an unlimited 2% cash rewards on purchases, even when you shop at Costco.

Add on the competitive 0% interest period and it’s no wonder we awarded this card Best No Annual Fee Credit Card.

Click here to read our full review for free and apply before the $200 welcome bonus offer ends!

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.Christy Bieber has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool recommends Flow. The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”Image source: The Motley Fool/Upsplash
Kohl’s is one of the largest department stores in the U.S., with locations in every state except Hawaii. The retailer frequently runs savings events throughout the year, but never as frequently as it does around the holiday season.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. While its generous coupon giving and Kohl’s Cash can make saving money easy, its holiday deals can add some extra relief to your wallet. Below we’ll look at six amazing buys at Kohl’s for under $20.Saving money at Kohl’s could put you on a money saving streak. You can also save on interest costs by using a credit card with a 0% promotional rate to pay off big purchases. Click here for our picks for the best cards with 0% intro APRs.1. Women’s Ultrasoft Fleece Jogger PantsPrice: $11.04 with code TAKE15 at checkoutNothing says snuggling up on a cozy winter day like a pair of ultrasoft jogger pants. The Tek Gear brand at Kohl’s comes in several sizes and colors (including “berry grigio” and “blue crayon”). When you apply the TAKE15 code at checkout, you’ll get them for $11.04.2. iTouch Touchscreen Smart WatchPrice: $19.99You don’t have to overcharge your favorite credit card to get a smartwatch. Kohl’s sells this one for only $19.99, on sale from its listing price of $65. Like other smartwatches, this one can keep track of your heart rate, count calories, notify you of text messages and incoming calls, and give you some intel on your sleeping patterns. The watch doesn’t have the best reviews (3.1 out of 5 stars), but the iTouch team at Kohl’s is hyper-responsive to feedback and seems willing to help.3. Barbie Convertible Car ToyPrice: $11.89Thanks to the blockbuster film Barbie, last Christmas was indisputably the pinkest we’ve seen in over a generation. That pink splash produces some extremely popular Barbie toys, including this Barbie Convertible Car by Fisher-Price.The set comes with two Barbies and a bright smiley-face car that looks nothing like driver faces in my state, New Jersey. Positive vibes all around, this is a great toy for your little one.4. The Worst-Case Scenario Card GamePrice: $19.99″When disaster strikes, who thinks alike?” A card game born from Murphy’s Law, the Worst-Case Scenario Card Game asks players to match five worst-case scenarios from 1 (bad) to 5 (the worst). The game can be played with three to six people and is rated for ages 10 and up.5. BioSchwartz Immunity Boost with Vitamin C and ZincPrice: $19.97Flu season is here. Cue the sick days, the sick kids, and the “sick” excuses for missing work. But if you’re not trying to get out of work, here’s an immunity boost of vitamins that could help keep you out of bed. This powerhouse of minerals comes with 90 capsules, which is a 30-day supply. If you have any questions, ask your doctor first before taking these.These five products scratch the surface of what’s available at Kohl’s. Grab yourself a new credit card before the holiday season and give yourself a chance to earn a huge welcome offer. Click here to get our curated list of the best credit cards.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.”}]] [[{“value”:”

Kohl’s is one of the largest department stores in the U.S., with locations in every state except Hawaii. The retailer frequently runs savings events throughout the year, but never as frequently as it does around the holiday season.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

While its generous coupon giving and Kohl’s Cash can make saving money easy, its holiday deals can add some extra relief to your wallet. Below we’ll look at six amazing buys at Kohl’s for under $20.

Saving money at Kohl’s could put you on a money saving streak. You can also save on interest costs by using a credit card with a 0% promotional rate to pay off big purchases. Click here for our picks for the best cards with 0% intro APRs.

1. Women’s Ultrasoft Fleece Jogger Pants

Price: $11.04 with code TAKE15 at checkout

Nothing says snuggling up on a cozy winter day like a pair of ultrasoft jogger pants. The Tek Gear brand at Kohl’s comes in several sizes and colors (including “berry grigio” and “blue crayon”). When you apply the TAKE15 code at checkout, you’ll get them for $11.04.

2. iTouch Touchscreen Smart Watch

Price: $19.99

You don’t have to overcharge your favorite credit card to get a smartwatch. Kohl’s sells this one for only $19.99, on sale from its listing price of $65. Like other smartwatches, this one can keep track of your heart rate, count calories, notify you of text messages and incoming calls, and give you some intel on your sleeping patterns. The watch doesn’t have the best reviews (3.1 out of 5 stars), but the iTouch team at Kohl’s is hyper-responsive to feedback and seems willing to help.

3. Barbie Convertible Car Toy

Price: $11.89

Thanks to the blockbuster film Barbie, last Christmas was indisputably the pinkest we’ve seen in over a generation. That pink splash produces some extremely popular Barbie toys, including this Barbie Convertible Car by Fisher-Price.

The set comes with two Barbies and a bright smiley-face car that looks nothing like driver faces in my state, New Jersey. Positive vibes all around, this is a great toy for your little one.

4. The Worst-Case Scenario Card Game

Price: $19.99

“When disaster strikes, who thinks alike?” A card game born from Murphy’s Law, the Worst-Case Scenario Card Game asks players to match five worst-case scenarios from 1 (bad) to 5 (the worst). The game can be played with three to six people and is rated for ages 10 and up.

5. BioSchwartz Immunity Boost with Vitamin C and Zinc

Price: $19.97

Flu season is here. Cue the sick days, the sick kids, and the “sick” excuses for missing work. But if you’re not trying to get out of work, here’s an immunity boost of vitamins that could help keep you out of bed. This powerhouse of minerals comes with 90 capsules, which is a 30-day supply. If you have any questions, ask your doctor first before taking these.

These five products scratch the surface of what’s available at Kohl’s. Grab yourself a new credit card before the holiday season and give yourself a chance to earn a huge welcome offer. Click here to get our curated list of the best credit cards.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”Image source: Getty Images
Your credit score has a direct impact on your ability to borrow money. A higher credit score makes you more likely to get approved for loans or credit cards, and it can also set you up with more affordable borrowing rates. But if you have poor credit, you might not only struggle to get approved for a loan, but also get stuck with an exorbitant interest rate once a lender says yes.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. Experian, one of the three credit bureaus, defines poor credit as a score of 579 or less (the lowest your score can go is 300). And sometimes, people wind up with poor credit due to a series of unfortunate circumstances, like a string of unemployment or health issues that cause them to rack up bills and lose out on income. But you need to be aware of the habits that could result in a credit score that works against you. Here are four habits of people with poor credit — and how to break them.1. They don’t pay their bills on timeYour payment history carries more weight than any other factor when calculating a credit score. But people who are routinely late with bills risk severe credit score damage. To avoid being late with your bills, set up a budget to make sure you can stay on top of your recurring bills. Also, put bills on autopay if possible so you don’t fall behind due to sheer forgetfulness. If the reason you’re commonly late paying bills is a lack of money, do an overhaul of your budget and slash some expenses temporarily until your income increases. That could mean getting a roommate or dumping a car if you can get by with public transportation. Or, if cutting back on spending isn’t an option, boost your income with a side job until you have a better handle on your expenses. 2. They only make their minimum credit card paymentsCredit card issuers give you the flexibility to only make your minimum payments each month. If you stick to that plan, you won’t hurt your credit score from a payment history standpoint. But your credit score could get stuck in a rut because your utilization is high.Your credit utilization ratio measures how much of your revolving credit you’re using at once. If you only make your minimum credit card payments each month, your utilization likely won’t drop. So try your best to pay down some credit card debt, and then, from there on out, aim to pay more than your minimum each month. You’ll also save money on interest.3. They close credit card accounts as soon as they’re done with themClosing credit card accounts could hurt your credit score in a couple of ways. It could lower the average age of your accounts (in the case of closing a card you’ve had for a long time), and it could lower your credit utilization ratio. Remember, that ratio compares your outstanding credit card debt to your total credit limit. If you owe $5,000 on a $10,000 limit, that’s 50% utilization, which isn’t great for your credit score to begin with. But if you cancel an old credit card with a $2,000 limit and reduce your total limit to $8,000, that’ll drive your utilization up to 62.5%. Instead of closing old credit card accounts, keep the ones you rarely use open and active with a small recurring charge each month. However, you likely don’t want to hang onto credit cards you don’t use that charge an expensive annual fee. In that case, you could ask the issuer to downgrade an existing card to one without a fee. If that’s not possible, you could cancel the old card and apply to open a new one that doesn’t charge an annual fee.Your credit score might take a small hit when you open a new credit card account. But that hit might be much smaller than the hit you take due to an increase in your credit utilization. Plus, if you shop around for a new credit card with a generous sign-up bonus, you can use that extra cash to pay off some of your existing balances. Click here for a list of the best credit card sign-up bonuses available now.4. They never check their credit reportYou might assume that you don’t need to check your credit report since it contains information you can’t change anyway. Not so.It’s not unheard of for credit reports to contain errors. And some of those errors may be dragging your credit score down needlessly. If one of the credit bureaus has you flagged for being delinquent on a loan when you’re actually on top of your payments, that’s the sort of mistake you’ll want to correct immediately.And you should know that the credit bureaus are required to investigate any disputes you make. So the information your credit report contains isn’t necessarily set in stone. As a general practice, it’s a good idea to check your credit report from each reporting bureau — Experian, Equifax, and TransUnion — a few times a year. You can either pull all three reports at the same time every three months, or you can review one credit report a month from a different bureau on a rotating basis. Poor credit could get in the way of your ability to borrow money affordably. That could make it harder to buy a car, own a house, or even finance a cellphone purchase. It pays to do what you can to get your credit score into better shape. And a big part of that means avoiding these harmful habits. Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.”}]] [[{“value”:”

Your credit score has a direct impact on your ability to borrow money. A higher credit score makes you more likely to get approved for loans or credit cards, and it can also set you up with more affordable borrowing rates. But if you have poor credit, you might not only struggle to get approved for a loan, but also get stuck with an exorbitant interest rate once a lender says yes.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

Experian, one of the three credit bureaus, defines poor credit as a score of 579 or less (the lowest your score can go is 300). And sometimes, people wind up with poor credit due to a series of unfortunate circumstances, like a string of unemployment or health issues that cause them to rack up bills and lose out on income.

But you need to be aware of the habits that could result in a credit score that works against you. Here are four habits of people with poor credit — and how to break them.

1. They don’t pay their bills on time

Your payment history carries more weight than any other factor when calculating a credit score. But people who are routinely late with bills risk severe credit score damage.

To avoid being late with your bills, set up a budget to make sure you can stay on top of your recurring bills. Also, put bills on autopay if possible so you don’t fall behind due to sheer forgetfulness.

If the reason you’re commonly late paying bills is a lack of money, do an overhaul of your budget and slash some expenses temporarily until your income increases. That could mean getting a roommate or dumping a car if you can get by with public transportation. Or, if cutting back on spending isn’t an option, boost your income with a side job until you have a better handle on your expenses.

2. They only make their minimum credit card payments

Credit card issuers give you the flexibility to only make your minimum payments each month. If you stick to that plan, you won’t hurt your credit score from a payment history standpoint. But your credit score could get stuck in a rut because your utilization is high.

Your credit utilization ratio measures how much of your revolving credit you’re using at once. If you only make your minimum credit card payments each month, your utilization likely won’t drop. So try your best to pay down some credit card debt, and then, from there on out, aim to pay more than your minimum each month. You’ll also save money on interest.

3. They close credit card accounts as soon as they’re done with them

Closing credit card accounts could hurt your credit score in a couple of ways. It could lower the average age of your accounts (in the case of closing a card you’ve had for a long time), and it could lower your credit utilization ratio.

Remember, that ratio compares your outstanding credit card debt to your total credit limit. If you owe $5,000 on a $10,000 limit, that’s 50% utilization, which isn’t great for your credit score to begin with. But if you cancel an old credit card with a $2,000 limit and reduce your total limit to $8,000, that’ll drive your utilization up to 62.5%.

Instead of closing old credit card accounts, keep the ones you rarely use open and active with a small recurring charge each month. However, you likely don’t want to hang onto credit cards you don’t use that charge an expensive annual fee. In that case, you could ask the issuer to downgrade an existing card to one without a fee. If that’s not possible, you could cancel the old card and apply to open a new one that doesn’t charge an annual fee.

Your credit score might take a small hit when you open a new credit card account. But that hit might be much smaller than the hit you take due to an increase in your credit utilization.

Plus, if you shop around for a new credit card with a generous sign-up bonus, you can use that extra cash to pay off some of your existing balances. Click here for a list of the best credit card sign-up bonuses available now.

4. They never check their credit report

You might assume that you don’t need to check your credit report since it contains information you can’t change anyway. Not so.

It’s not unheard of for credit reports to contain errors. And some of those errors may be dragging your credit score down needlessly. If one of the credit bureaus has you flagged for being delinquent on a loan when you’re actually on top of your payments, that’s the sort of mistake you’ll want to correct immediately.

And you should know that the credit bureaus are required to investigate any disputes you make. So the information your credit report contains isn’t necessarily set in stone.

As a general practice, it’s a good idea to check your credit report from each reporting bureau — Experian, Equifax, and TransUnion — a few times a year. You can either pull all three reports at the same time every three months, or you can review one credit report a month from a different bureau on a rotating basis.

Poor credit could get in the way of your ability to borrow money affordably. That could make it harder to buy a car, own a house, or even finance a cellphone purchase. It pays to do what you can to get your credit score into better shape. And a big part of that means avoiding these harmful habits.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”Image source: Getty Images
In September, the Federal Reserve lowered its benchmark interest rate by half a percentage point. That was then followed by a quarter-point rate cut in November.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. The bad news about the Fed’s rate cuts is that they could lead to a drop in savings account and CD rates. So if you have money to put into a CD in particular, you may want to open one today. Check out this list of the best CD rates to get started.But the Fed’s rate cuts could be good news for borrowers. In the coming months, we could see a decline in loan rates, making a variety of financial products more affordable. If you’ve been putting off a car purchase, it could be a good time to start looking.Car prices are high, but slowly fallingIn September, the average transaction price for a new vehicle in the U.S. was $48,397, according to Kelley Blue Book data. That’s a 0.4% decline from the previous year, which is only a modest drop, but a drop nonetheless.Of course, there’s no saying you have to go out and purchase a new vehicle. You might save a fair amount of money by purchasing one that’s used. Similarly, skipping some added features could help you keep the price of a new car more affordable. And if you can snag a competitive interest rate on an auto loan, you may find that a new car fits nicely into your budget.How to score a great auto loan rateThe lower the interest rate on your auto loan, the more savings you can enjoy. Shop around with different lenders to see what financing options they have to offer. You can start with this list of the top auto loan lenders.Another thing it pays to do is work on boosting your credit score. The higher that number, the more affordable an auto loan you might get.There are several ways to boost your credit score, but some take longer than others. Your payment history carries more weight than any other factor when calculating your credit score, but it can take months to improve.How to quickly boost your credit scoreFor faster results, try paying off a chunk of your credit card debt. Also, check your credit report for errors.Specifically, pull a copy of your credit report from each of the three reporting bureaus — Experian, Equifax, and TransUnion — since they’re not guaranteed to all have the same information. If you see a mistake that paints you in a less favorable light, like a delinquency on a debt you’re actually current on, contact the reporting bureau at once and try to straighten things out. You can now access a free copy of your report from each credit bureau once weekly via annualcreditreport.com.Because car prices are still pretty high and auto loan rates are also somewhat elevated, it’s not necessarily the best time to buy a car per se. But it’s also not a terrible time. And in the coming months, auto loan rates could fall even more, especially if the Fed makes more rate cuts as it’s expected to do.If a new car could improve your quality of life, it’s not a bad idea to start looking. Just try to make sure your credit score is in good shape first.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.”}]] [[{“value”:”

In September, the Federal Reserve lowered its benchmark interest rate by half a percentage point. That was then followed by a quarter-point rate cut in November.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

The bad news about the Fed’s rate cuts is that they could lead to a drop in savings account and CD rates. So if you have money to put into a CD in particular, you may want to open one today. Check out this list of the best CD rates to get started.

But the Fed’s rate cuts could be good news for borrowers. In the coming months, we could see a decline in loan rates, making a variety of financial products more affordable. If you’ve been putting off a car purchase, it could be a good time to start looking.

Car prices are high, but slowly falling

In September, the average transaction price for a new vehicle in the U.S. was $48,397, according to Kelley Blue Book data. That’s a 0.4% decline from the previous year, which is only a modest drop, but a drop nonetheless.

Of course, there’s no saying you have to go out and purchase a new vehicle. You might save a fair amount of money by purchasing one that’s used. Similarly, skipping some added features could help you keep the price of a new car more affordable. And if you can snag a competitive interest rate on an auto loan, you may find that a new car fits nicely into your budget.

How to score a great auto loan rate

The lower the interest rate on your auto loan, the more savings you can enjoy. Shop around with different lenders to see what financing options they have to offer. You can start with this list of the top auto loan lenders.

Another thing it pays to do is work on boosting your credit score. The higher that number, the more affordable an auto loan you might get.

There are several ways to boost your credit score, but some take longer than others. Your payment history carries more weight than any other factor when calculating your credit score, but it can take months to improve.

How to quickly boost your credit score

For faster results, try paying off a chunk of your credit card debt. Also, check your credit report for errors.

Specifically, pull a copy of your credit report from each of the three reporting bureaus — Experian, Equifax, and TransUnion — since they’re not guaranteed to all have the same information. If you see a mistake that paints you in a less favorable light, like a delinquency on a debt you’re actually current on, contact the reporting bureau at once and try to straighten things out. You can now access a free copy of your report from each credit bureau once weekly via annualcreditreport.com.

Because car prices are still pretty high and auto loan rates are also somewhat elevated, it’s not necessarily the best time to buy a car per se. But it’s also not a terrible time. And in the coming months, auto loan rates could fall even more, especially if the Fed makes more rate cuts as it’s expected to do.

If a new car could improve your quality of life, it’s not a bad idea to start looking. Just try to make sure your credit score is in good shape first.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”Image source: Getty Images
When it comes to savings accounts, it seems like all anyone talks about these days is their annual percentage yields (APYs). This isn’t that surprising, because the APY dictates how much interest you earn on your funds. But here’s a secret no one tells you: Finding the highest possible rate really isn’t worth your time. Here’s why I don’t bother with it.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. How savings account APYs workBanks want people to keep their money in a savings account because then they can use it to help fund loans for other customers. When the borrowers pay back their money with interest, banks pass along some of that interest to savers in the form of an APY to encourage them to keep doing business at the bank.Most banks offer one standard APY for all funds in the account, though some require you to keep a certain amount in the bank to earn interest, or have a tiered APY system. But no matter how your bank operates, its terms are never set in stone.You could spend hours combing through every bank account on the internet looking for the one that offers the highest possible APY. But the next day, rates could change and a new savings account could be on top. This is especially true when APYs are falling or rising quickly. You usually see this when the Federal Reserve makes changes to the federal funds rate, as it’s done a couple times in the last couple of months.It doesn’t make sense to open a new savings account every time you find a better deal. What you ought to do instead is look at APY as just one piece of the puzzle. A high APY is great, but if your account is 0.01% behind some of the other top savings accounts, it’s not going to make a huge difference in the long term.A savings account with a $1,000 balance would only earn $0.10 less in a year with a 3.99% APY compared to a 4.00% APY. And if you’re choosing a savings account based on APY alone, you might be ignoring other important factors.APYs aren’t the only thing that mattersWhen choosing a savings account, you also want to keep the following in mind:Fees: What can the bank account charge you for? Do you have to maintain a certain balance to avoid a maintenance fee? Does the bank charge you if you exceed a certain number of monthly withdrawals?Accessibility: Does the savings account come with an ATM card or any other means of directly withdrawing your cash? If not, how long will it take to move funds to another account or another bank?Banking tools: Does the savings account have a user-friendly mobile app and online banking tools? What about any budgeting resources?Customer service: Is it easy to contact the bank if you need help with your account? What are its customer service hours? What do other customers have to say about their experiences with the bank?You should try to answer these questions when comparing savings accounts. You can usually find this information by checking the bank’s website, especially its fee schedule, and looking for customer reviews. When in doubt, you can always contact the bank directly with questions.Go with the account that checks most of your boxes. You may have to compromise a little, like forgoing an ATM card if the savings account offers everything else you’re looking for. It’s ultimately up to you to decide which features are most important.And this isn’t to say you shouldn’t shop around for a new savings account once in a while. Every couple of years, it doesn’t hurt to take a look at what’s out there to see if it’s better than what you have. When you are ready to see what’s out there, check out some of our favorite savings accounts. They all offer minimal fees and APYs that are well above the national average.But don’t move your money around unless you think it’s going to make a substantial difference to your savings. Making an extra $5 a year in interest probably isn’t worth all the hassle involved with switching banks.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.”}]] [[{“value”:”

When it comes to savings accounts, it seems like all anyone talks about these days is their annual percentage yields (APYs). This isn’t that surprising, because the APY dictates how much interest you earn on your funds. But here’s a secret no one tells you: Finding the highest possible rate really isn’t worth your time. Here’s why I don’t bother with it.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

How savings account APYs work

Banks want people to keep their money in a savings account because then they can use it to help fund loans for other customers. When the borrowers pay back their money with interest, banks pass along some of that interest to savers in the form of an APY to encourage them to keep doing business at the bank.

Most banks offer one standard APY for all funds in the account, though some require you to keep a certain amount in the bank to earn interest, or have a tiered APY system. But no matter how your bank operates, its terms are never set in stone.

You could spend hours combing through every bank account on the internet looking for the one that offers the highest possible APY. But the next day, rates could change and a new savings account could be on top. This is especially true when APYs are falling or rising quickly. You usually see this when the Federal Reserve makes changes to the federal funds rate, as it’s done a couple times in the last couple of months.

It doesn’t make sense to open a new savings account every time you find a better deal. What you ought to do instead is look at APY as just one piece of the puzzle. A high APY is great, but if your account is 0.01% behind some of the other top savings accounts, it’s not going to make a huge difference in the long term.

A savings account with a $1,000 balance would only earn $0.10 less in a year with a 3.99% APY compared to a 4.00% APY. And if you’re choosing a savings account based on APY alone, you might be ignoring other important factors.

APYs aren’t the only thing that matters

When choosing a savings account, you also want to keep the following in mind:

Fees: What can the bank account charge you for? Do you have to maintain a certain balance to avoid a maintenance fee? Does the bank charge you if you exceed a certain number of monthly withdrawals?Accessibility: Does the savings account come with an ATM card or any other means of directly withdrawing your cash? If not, how long will it take to move funds to another account or another bank?Banking tools: Does the savings account have a user-friendly mobile app and online banking tools? What about any budgeting resources?Customer service: Is it easy to contact the bank if you need help with your account? What are its customer service hours? What do other customers have to say about their experiences with the bank?

You should try to answer these questions when comparing savings accounts. You can usually find this information by checking the bank’s website, especially its fee schedule, and looking for customer reviews. When in doubt, you can always contact the bank directly with questions.

Go with the account that checks most of your boxes. You may have to compromise a little, like forgoing an ATM card if the savings account offers everything else you’re looking for. It’s ultimately up to you to decide which features are most important.

And this isn’t to say you shouldn’t shop around for a new savings account once in a while. Every couple of years, it doesn’t hurt to take a look at what’s out there to see if it’s better than what you have. When you are ready to see what’s out there, check out some of our favorite savings accounts. They all offer minimal fees and APYs that are well above the national average.

But don’t move your money around unless you think it’s going to make a substantial difference to your savings. Making an extra $5 a year in interest probably isn’t worth all the hassle involved with switching banks.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

“}]] Read More