5 Tips for Young People to Build a Strong Credit History

Building a credit history is important for anyone, especially for young people who are starting out in the financial world. According to a financial inclusion study by Experian PeruBy 2022, 40.6% of the population over 18 years of age has credit experience in the country.

A good credit history will allow you to obtain loans with better terms and access to more financing options. That is why Juan Carlos Venturo, general manager of Experian Peru, offers five specific recommendations for young Peruvians looking to start building their credit responsibly.

• Get a credit card or loan: To begin building your credit history, you need to obtain credit. A credit card or loan may be a good option.

In the case of credit cards, it is important to use them responsibly and make payments on time. For loans, it’s important to read the terms and conditions carefully before signing any documents, recommends Experian. Enter to misentinel.com.pe to find out how to use credit cards responsibly.

• Pay debts on time: It is essential to make payments on time to avoid late payment fees. The recommendation at this point is to always comply with financial obligations within the established deadlines.
• Maintain a low level of debt: It is important to maintain an appropriate balance between available credit and the level of debt. A high level of debt can be a sign of risk for lenders, do not exceed your payment capacity and always remember to make financial decisions by consulting your credit history.
• Review your credit report regularly: It’s important to review your credit report regularly to make sure there are no errors and to stay on top of any suspicious activity. When you register in Mi Sentinel you can get your free credit reportor conduct third-party payment behavior inquiries to minimize risk.