The idea of tradelines isn’t some complicated secret like many people make it out to be. When purchasing tradelines, there are two major variables that you need to consider over everything else.
Those variables include age and credit.
Yes, you’ll also want to worry about the posting dates and the price, though those come second to the two main variables. If you’re new to tradelines, we don’t want you to worry about that just yet.
Focusing On Age
If you want to see the best results possible with your tradeline, you are going to want to set your focus on the age of the tradeline in question. Remember that age makes up half of your overall credit score, as you payment history is 35% and the actual age is 15%. The thing is, most people don’t understand that it is impossible to separate the payment history from the age or the age from the payment history.
We recommend looking at these as if they were one larger 50% chunk to keep things simple.
Focusing On Credit Limit
The second variable that you will need to consider when looking to buy a tradeline is the credit limit. The credit limit is going to have the biggest impact on your credit utilization ratio. Of course, it can have a pretty major impact on a few other variables within the algorithms of your credit score, though the utilization ratio is the main variable.
30% of your credit score is comprised by the amount of debt that you owe. This is why many people tend to think that the most important variable is the limit of the tradeline. Unfortunately, if you are one of these people who believes this, you’ll likely purchase a tradeline without reaping the positive results that you were hoping for at the start.
This is because if someone is trying to lower their overall utilization ratio, it means that they have a high utilization on their credit cards. In that case, the limit of a brand new tradeline might not help as much. Someone with three maxed out credit cards might buy a high limit tradeline to bring their overall utilization ratio down instead of trying to pay off their debt. Unfortunately, that person will still have the same number of maxed out cards when they are done.
So What Should I Do?
The secret is to buy tradelines that are seasoned. Seasoned tradelines have a significant age that is typically more than two years. Looking at age is a far more powerful tool than looking at utilization ratios. Of course, it is also important that you choose a tradeline that will affect your average age of accounts positively.
If you are still unsure how you can find the best tradeline for your situation, make sure to contact us here at Personal Tradelines. We can help you to find the best seasoned tradelines for your account so that you can see the positive growth in your credit score that you have been dreaming of.