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24-Oct-2020 05:25
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It is important to make sure that your credit counseling organization makes all payments for you on time.Credit counseling organizations typically make the agreed-upon debt payments for you each month, and so the responsibility is on them to make sure they pay each bill on time.It is used as a method of reducing or eliminating debt.Debt consolidation has the potential to hurt your credit score in several ways, depending on which method you use.If the balance on that card is ,000, your credit utilization ratio is 50%.It is commonly recommended to keep your credit utilization under 30%.
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Closing revolving credit accounts will increase your overall credit utilization ratio—which will impact your credit scores.When you consolidate revolving debt—like credit card accounts—you also will be working toward reducing your utilization ratio—one of the most important factors in calculating your credit score.
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