San Leandro Honda

1302 Marina Blvd
Directions San Leandro, CA 94577

  • Honda Car Sales: (510) 347-5100
  • Honda Service: (510) 347-5100
  • Honda Parts: (510) 347-5100

Credit Precautions

Credit Precautions
The best way to avoid getting into trouble with credit involves advance planning for how it is used and how it is paid.

Ways to Avoid Bad Credit
  • Limit the number of creditors. Many creditors interpret too many open credit accounts as a risk.
  • Spend only what you can afford at the time.
  • Think before you buy. Remember, credit is like a loan. Ask yourself, "Would I really go to the bank for a loan for this?"
  • Stay below the limit. Each lender is different, but for some lenders, you need to be 50% or below your limit to get the best rates.
  • Ensure payments arrive before the due date. Check out payment options such as online, telephone, and automatic payment to avoid late fees.
  • Pay the full balance due each month or at least pay more than the minimum. This will cut down on interest payments.
  • Don't lend out your credit. By adding other's names to your credit cards or adding yourself as a co-applicant to someone else's loan you are allowing others the opportunity to weaken your credit rating. Remember that you are liable for all expenses taken out under your name.
  • Apply for credit when necessary.
  • Purchase "needs" vs. "wants"-think of a credit card as a loan. Before making a purchase, ask yourself, "Would I really go to a bank to get a loan for this item?"
  • Pay the full amount owed every month or at least pay more than the minimum.