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Speaker 1: It's time for the b a q a A the

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Speaker 1: b a q A which is the Big Q eight

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Speaker 1: with Man dead to be a Q with Tiffin aid

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Speaker 1: to b a q a A. Hey manager, Oh Many,

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Speaker 1: your hair is like really long, you know, it just

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Speaker 1: keeps growing. Many has like well I used to call it,

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Speaker 1: like back in the day Rudy Huxtable hair because remember

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Speaker 1: Rudy had so much hair where it's.

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Speaker 2: Like giving like you know, the glamour shots at the mall,

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Speaker 2: like I'm almost just put like a nice it wasn't

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Speaker 2: attention hazy sen Yes, I'll take it over. What that

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Speaker 2: might look like?

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Speaker 1: Man is giving glamor hair? All right? Some as you know,

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Speaker 1: Brianna bish in question the answers. You have questions, we

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Speaker 1: have some answer and so sometimes we talk about business.

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Speaker 1: Sometimes we talk about finance. Sometimes you talk about your

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Speaker 1: own personal life, whatever it is. You can ask us questions.

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Speaker 1: You can go to be a podcast on IG Sliding

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Speaker 1: to the DMS. You can email us at brand Ambition

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Speaker 1: at gmail dot com. This is a Barandavision podcast Bandavision

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Speaker 1: podcast at gmail dot com. But just remember that we're

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Speaker 1: not your We're not your brother, not your mother, not

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Speaker 1: your sister, but your friend. Anyway, We're not your financial advisor,

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Speaker 1: your doctor, your attorney. So you are going to listen

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Speaker 1: hardcore to people that you pay and take what we

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Speaker 1: say with the tiniest, tiniest grain of salt, which is

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Speaker 1: two smart brown girls with something to say. This week,

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Speaker 1: we have two credit questions, so you want to you

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Speaker 1: wanna store Meandra.

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Speaker 2: Hello, ladies, my name is Nicole, and I wanted to

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Speaker 2: know ways I can raise my credit score. It's been

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Speaker 2: at a complete standstill for some time now. According to

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Speaker 2: credit Karma, I have a score of seven fifty four

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Speaker 2: with TransUnion and seven forty six with Equifax, and I've

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Speaker 2: been trying to increase my score as it's been a

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Speaker 2: personal goal of mine for a while. Now. I have

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Speaker 2: three credit cards, which two of them I don't use.

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Speaker 2: In the last one, which was which has the longest

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Speaker 2: line of credit, I use four small things like subscriptions.

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Speaker 2: I have no debt, make all my payments on time,

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Speaker 2: I have a low utilization rate, but I'm still saying

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Speaker 2: no change. I do notice on some sites that my

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Speaker 2: credit mix is poor, So it does that mean I

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Speaker 2: need to apply for a new credit card or take

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Speaker 2: out a personal loan. I hope this message makes it

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Speaker 2: on the podcast. I listen to BA all the time.

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Speaker 2: Nicole question, Nikki, Tricky Nikki, I'm just no Nikki.

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Speaker 1: WHOA one? I will say, congratulations girl, because seven forty

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Speaker 1: seven fifty is is the beginning of perfect credit. Meaning

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Speaker 1: like whatever you whatever interest rate you're gonna get with

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Speaker 1: eight hundred, you would likely get it with seven fifty.

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Speaker 1: So I mean, if it's a personal goal, it's a

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Speaker 1: personal goal. So I'm not negating that. You to know

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Speaker 1: that if it's because oh I want to get a

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Speaker 1: really great interest rate because I'm buying a house. So girl,

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Speaker 1: you're there. Congratulations. You know the confetti is falling from

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Speaker 1: the ceiling already, So I just want to rest assured that.

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Speaker 1: So that's one. Two. You said that you have two

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Speaker 1: cards that you never use. Girl, that's a misopportunity. You're

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Speaker 1: gonna do what I call my jump like a Jordan

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Speaker 1: and method. So that is when you said you had

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Speaker 1: some subscriptions, spread those subscriptions over the three cards. So

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Speaker 1: let's just say Netflix, Spotify, Gym membership. Each one of

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Speaker 1: those cards will get one subscription and then you're going

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Speaker 1: to pay it off every month. And full. So you're

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Speaker 1: going to have the subscription charge the card and then

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Speaker 1: you're going to find out your oh is it called

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Speaker 1: closing date, Yeah, reporting date, closing dates state no state

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Speaker 1: be a statement date, right, So that is the day

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Speaker 1: that basically they tell the credit bureas, hey, Nikkia use

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Speaker 1: her cards, because you want them to acknowledge you use

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Speaker 1: the car and acknowledge you paid it off. So whatever.

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Speaker 1: Let's just say the due date is the thirtieth, but

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Speaker 1: the statement date is the twenty fourth, so you want

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Speaker 1: to find out whatever. The statement date is the date

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Speaker 1: that they report card usage, and you want to pay

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Speaker 1: it off after that because you want it to be reported.

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Speaker 1: This part people get confused with all the time. So

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Speaker 1: it's like, don't be late, so pay it off by

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Speaker 1: the due date, but paid off after the statement date

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Speaker 1: when they've already told you used the card, because you

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Speaker 1: want a record of your usage. And if you do

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Speaker 1: that automatically, it just looks like your card getting charged,

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Speaker 1: your guard getting paid off from whatever checking account. You

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Speaker 1: can have it automatically paid off every single month, and

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Speaker 1: this will allow your credit score to jump like Jordan

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Speaker 1: remember back in the day. Or you can even see

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Speaker 1: it on his Sneaker's the jump Man where he's literally

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Speaker 1: jumping like Jordan used to get. That's what they call

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Speaker 1: him Air Jordan because he used to get so much tight.

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Speaker 1: And you're going to see your card score jump because

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Speaker 1: here's the thing you started up. Friends. Whenever I say

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Speaker 1: here's the thing, I always think about the song. Yeah, yeah,

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Speaker 1: what song is that? Mandy Kelly Clark? Oh, come on, manny,

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Speaker 1: I just want to hear sack go ahead. I just

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Speaker 1: want to.

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Speaker 2: No one wants to hear. It's a hard song to sing.

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Speaker 2: Haven't you seen pitch perfect? It's a hard song to sing.

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Speaker 1: Nobody cares about our tone. Hey, ba fan, we're gonna

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Speaker 1: take a quick break and we'll be right back. The

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Speaker 1: amount of money doesn't matter as much as paying off

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Speaker 1: in full. When you pay off a debt and full,

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Speaker 1: you pay off your house in full, credit score jumps.

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Speaker 1: You pay off your car in full, credit score jumps.

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Speaker 1: When you pay off a credit card in full, five

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Speaker 1: dollars five hundred five thousand, five million, credit score jumps.

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Speaker 1: So you can get a little jumpy jump by paying

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Speaker 1: off small amounts on your credit card every single month.

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Speaker 1: Those two you're not using will certainly help. And the

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Speaker 1: component about credit mix, So yes, your credit mix. I

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Speaker 1: think credit mix is fifteen percent of your score. So

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Speaker 1: thirty percent of your score is credit history, No, thirty

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Speaker 1: five percent is credit history, thirty percent is usage, which

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Speaker 1: you have down fifteen percent. I believe it's a credit mix. Now,

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Speaker 1: you don't have to go out and get more of

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Speaker 1: a credit mix. But if you insist, I wouldn't just

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Speaker 1: go borrow money willy nilly. I would go to a

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Speaker 1: credit union and ask if they have something called a

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Speaker 1: credit builder loan. Right. So a credit builder loan is

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Speaker 1: when they say take the smallest loan now possible. They're

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Speaker 1: not actually going to give you the money. Let's just

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Speaker 1: say it's five hundred dollars. They'll the credit union will say, hey, Nick,

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Speaker 1: here is your five hundred dollars, but we're going to

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Speaker 1: keep it in your in a money market or safe's

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Speaker 1: account for you. So it's not really borring it. It's

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Speaker 1: just a fake loan, right. And then you're going to

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Speaker 1: pay off that loan over the year, so like whatever

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Speaker 1: thirty forty fifty bucks a month until the loan is

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Speaker 1: paid off quote unquote, and they're going to give your

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Speaker 1: money back because they never actually gave you the loan

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Speaker 1: plus a little interest. And so because the two components

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Speaker 1: of the ways you can borrow is revolving debt, which

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Speaker 1: is credit card debt, which you have, but it's also

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Speaker 1: installment loans, which you don't have because you don't have

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Speaker 1: any debt. And so that is a way to kind

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Speaker 1: of get a fake installment loan that doesn't put you

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Speaker 1: in financial peril is to get a credit builder loan,

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Speaker 1: ideally from a credit union. If you do those two

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Speaker 1: things that I suggested, I'm sure maybe has some suggestions

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Speaker 1: too that can really help.

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Speaker 2: My only suggestion is just to be like, chill out

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Speaker 2: and enjoy a really high credit score. You're so close

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Speaker 2: to like I think it's seven sixty last I look,

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Speaker 2: the credit scoring models change a lot, Yeah, and there's

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Speaker 2: so many different kinds of scores. And even if you

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Speaker 2: get the perfect score on credit karma with these two agencies,

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Speaker 2: let's say you go to apply for a mortgage or

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Speaker 2: an auto loan. They have their own score. They're going

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Speaker 2: to look at it, and you may not have a

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Speaker 2: perfect score there. So it's kind of like for me,

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Speaker 2: it's you know, hey, we all have our kinks and

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Speaker 2: some people are really you know, like my husband loves

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Speaker 2: spending a lot of time on the particular kind of

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Speaker 2: like car wash like stuff, and it acceens accessories and

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Speaker 2: how to get the you know, make sure you use

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Speaker 2: like the right shampoo on the tire and don't mix

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Speaker 2: the brushes that you use, all the fine details, you

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Speaker 2: know what I mean. And like for me, I'm like

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Speaker 2: car washes were invented for a reason, you know. But

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Speaker 2: like for you, I think that your credit score could

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Speaker 2: be your room and that's okay, and you can obsess

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Speaker 2: over it all you want. I however, don't identify with

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Speaker 2: that because I'm like, hey, seven sixty, according to a

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Speaker 2: lot of reports, is like the way to get the

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Speaker 2: best rates. And once I get the best Once I

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Speaker 2: get the best rates, the credit score to me just

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Speaker 2: kind of feels not as important. But this is your room, Nicole,

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Speaker 2: and you deserve a room, Okay.

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Speaker 1: So good luck.

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Speaker 2: I want to hear. I'm excited to hear if you

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Speaker 2: jumped like Jordan, and what you end up doing to

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Speaker 2: like get your score up higher?

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Speaker 1: Yeah kind of yeah, I mean I.

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Speaker 2: Wasn't trying to be condescending.

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Speaker 1: No, no, because I mean truthfully, you're right that her

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Speaker 1: score is more than high enough to get her whatever

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Speaker 1: kind of like Loana inches whatever. I mean, borring, how

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Speaker 1: what her income is. It's not just your score they

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Speaker 1: look at when they're lending. But your score is not

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Speaker 1: going to hinder you basically where you are now. If

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Speaker 1: it's a goal that you have, great, because girl, you

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Speaker 1: are like you out here, power powering through with your

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Speaker 1: debt free self y. So you pay your payments on

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Speaker 1: top I get it. Nick. It's like, let me tell

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Speaker 1: you something. What we do over here is excellence.

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Speaker 2: This is what we hope for being listen long enough.

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Speaker 2: All rising tides raise all boats. What a rising tide?

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Speaker 1: Wait? Ships? No, maybe, David, I hadn't. A rising tide

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Speaker 1: lifts all boats. A rising tide lifts off boats. Nady

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Speaker 1: am I rubbing off fight you? You you selling an

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Speaker 1: old African man.

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Speaker 2: Now I'm so tying.

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Speaker 1: Top six the ship like, oh my gosh, oh wait,

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Speaker 1: before we had to break. I said this in that

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Speaker 1: I don't want to forget it. I said this in

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Speaker 1: so prior that one of my so Nick's goal is

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Speaker 1: to get her credit score, you know, to basically perfect,

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Speaker 1: even though she's basically perfect now, and I think it's

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Speaker 1: important to set goals beyond just the new year, and

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Speaker 1: so I have shared that my major goal this year

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Speaker 1: is I'm going to learn how to do the fundamentals

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Speaker 1: of investing. Like I have invested in business, I'm invested

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Speaker 1: in real estate. I'm talking in the market. Do I

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Speaker 1: have money in the market, Yes, but I feel like

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Speaker 1: I don't have a good grasp of the fundamentals. And

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Speaker 1: so I've committed that that is what I'm going to

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Speaker 1: focus on this year. Because I told myself it was

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Speaker 1: too hard or I didn't have time, or I didn't

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Speaker 1: have the knowledge, I found myself a coach. I'm feeling

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Speaker 1: good about it, and I am. I just don't want

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Speaker 1: to feel like I don't. Things are not in my

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Speaker 1: control and Wielhouse and so as I do that, I

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Speaker 1: realize that one of the ways that I that helps

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Speaker 1: me stay and stick on track is one saying it

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Speaker 1: allow so so you guys can help me hold me

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Speaker 1: accountable and check in, but also too taking you on

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Speaker 1: my journey if you're wanting to invest too. I'm on

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Speaker 1: this journey and I'm trying to figure out why haven't

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Speaker 1: so many of us started. I asked a number of

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Speaker 1: my friends, doctor's attorneys, whatever, and it's like, there are

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Speaker 1: some reasons why. So I'm like, what if I can

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Speaker 1: find tools and resources that will help you banish those reasons?

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Speaker 1: And so if you want to help me figure out

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Speaker 1: why you haven't started, go to you should invest dot

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Speaker 1: Com thirty second quiz. It is going to help me

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Speaker 1: identify why you haven't started to invest. We'll help you

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Speaker 1: identify why you haven't started to invest, but also to

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Speaker 1: help me to send tools and resources to you that

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Speaker 1: will be a fit based upon where you are. So

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Speaker 1: you should invest dot Com. The link will be in

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Speaker 1: the show notes. Yeah, because this is my year, you know,

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Speaker 1: if you're an invest in girly. Honestly, if you're investing Girly,

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Speaker 1: signed to my dag on DMS because like, I don't know,

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Speaker 1: I feel like I want to create like an accountability group,

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Speaker 1: Like what does that word mean? What about when this happens?

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Speaker 1: What are points? What are you know? Like I really

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Speaker 1: wanna I really want to buckle down. This is the year.

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Speaker 1: I'm like enough already, Tiffany, So you should invest dot

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Speaker 1: com because even if I do do like a group

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Speaker 1: together whatever, I want to be able to identify the

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Speaker 1: girlies who also want to learn to All right, so

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Speaker 1: we're gonna take a break and we'll be back and

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Speaker 1: black and I never honey.

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Speaker 2: Speak for yourself because I'm in my winter pail, so

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Speaker 2: this means we're back.

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Speaker 1: We come and brown issue. This is my winter pail

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Speaker 1: as well.

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Speaker 2: We're coming all different shapes.

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Speaker 1: Oh my gosh. All right, what's our next question from Shalise? Yes,

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Speaker 1: I'm gonna read it, so uk so you can dive

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Speaker 1: deep for Schalise. So Schali says question for b a QA,

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Speaker 1: long time listener and finally asking a question, we love

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Speaker 1: that for you. I recently consolidated my outstanding credit card

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Speaker 1: balances into a consolidated personal lung. I did the math

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Speaker 1: and it came out better for me to consolidate and

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Speaker 1: have one payment to pay off in the next three years,

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Speaker 1: but I want to pay it off sooner. Yes, girl Excellence,

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Speaker 1: I have paid off the cards, but I'm wondering if

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Speaker 1: I should go ahead and close those cards. How would

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Speaker 1: this affect my credit score? Thanks Salise?

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Speaker 2: What LISPC interesting? Do they still have the credit card

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Speaker 2: credit score simulator? Do hickey on credit Karma?

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Speaker 1: I don't know.

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Speaker 2: Because that was one of my favorite features to use

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Speaker 2: back in the day on credit. Let me just google

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Speaker 2: that real quick, because the way that I feel doesn't

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Speaker 2: Don't you feel like you've aged when you hear that

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Speaker 2: apps and services that you feel like you came up

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Speaker 2: with are now defunct. Like when they said Mint was

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Speaker 2: going away, I was like, that's the beginning of my

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Speaker 2: career in personal finance, Mint with everything, And I'm like,

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Speaker 2: oh shit, I've outlived Mint. Anyway, Credit Karma credit score

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Speaker 2: simulated later. But the reason I'm suggesting this, yes, they

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Speaker 2: do because it can like yeah, so if you have

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Speaker 2: a credit Karma account, they're free. You can go in there.

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Speaker 2: Just know they're going to try to sell you a

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Speaker 2: bunch of credit cards. Okay, just ignore that stuff. But

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Speaker 2: you can see what will happen for any situation, like

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Speaker 2: what if I get denied for this credit, what if

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Speaker 2: I apply for a new card, what if I close

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Speaker 2: my card? What if I increase my balances? So that's

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Speaker 2: a way to kind of like play around. There's no

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Speaker 2: exact way to say, like for sure how much it

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Speaker 2: could impact your credit, but in general, when you close

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Speaker 2: credit cards, it does ding you in a couple of ways.

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Speaker 2: The one thing is that if they're older credit cards,

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Speaker 2: then it may decrease your age of your credit which

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Speaker 2: one of the factors that goes into your credit score

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Speaker 2: is how long you have used credit. So if you

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Speaker 2: close your oldest accounts or one year older accounts, that

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Speaker 2: could decrease your average age of your credit cards. So

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Speaker 2: that's one way. It's not the biggest part of your score,

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Speaker 2: but it could ding it. And the other way is

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Speaker 2: that your available balance your utilization rate rather like, which

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Speaker 2: is how much you're using on your balances on your

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Speaker 2: accounts versus how much you could be using. That will

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Speaker 2: go down because your total available credit limit on those

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Speaker 2: two cards would no longer be a factor, right, so

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Speaker 2: it could be Yeah, so that could ding you as well.

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Speaker 2: Utilization rate is the next best important, next most important

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Speaker 2: thing after on time payment history, right to correct me.

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Speaker 1: Yeah, it's thirty percent of your score.

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Speaker 2: Yeah, so that that could be the way that it

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Speaker 2: could ding you ultimately, though, if you're like, it's really

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Speaker 2: up to you, sometimes it's worth the hit. If having

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Speaker 2: those cards, having the accounts is too tempting, you're worried

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Speaker 2: about racking up more debt, you know, it may be

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Speaker 2: better for you to close them down and deal with

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Speaker 2: the little ding to your score. It also depends like

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Speaker 2: are you actively wanting to apply for a mortgage or

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Speaker 2: any other kind of loan. Does your credit score really

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Speaker 2: matter in the next six to twelve months. If it does,

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Speaker 2: maybe you want to leave it. If it doesn't, then

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Speaker 2: you have more wiggle room to bounce back, you know.

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Speaker 2: So that's what I would say.

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Speaker 1: What about you, Tiff, No, I was gonna say, like, honestly,

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Speaker 1: you said all the things that like, yeah, then it might.

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Speaker 1: It might affect your utilization, which is how much could

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Speaker 1: you borrow versus how much you are actually borrowing, So

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Speaker 1: the could you borrow a part could go down, you know,

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Speaker 1: and so that can significantly affect your score. And so

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Speaker 1: you really don't want to have a utilization that's over

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Speaker 1: thirty percent, like Mandy mentioned. So let's just say with

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Speaker 1: all your cards open, it's you have one thousand dollars

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Speaker 1: of I could borrow one thousand dollars. And let's just

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Speaker 1: say currently you have you know, what you currently owe

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Speaker 1: is three hundred, So three hundred is thirty percent of

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Speaker 1: one thousand dollars. Right now, you're right at the cusp

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Speaker 1: of utilization. But let's just say you close half those

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Speaker 1: cards and now you're down to five hundred dollars. You know,

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Speaker 1: that's how much you could borrow. Because those other cards

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Speaker 1: are gone, you can't borrow on those cards anymore. So

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Speaker 1: now you are from thirty percent utilization to sixty percent.

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Speaker 1: That's way too high and you will bring down your score.

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Speaker 1: So I would do a little bit of the math

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Speaker 1: if i'm you know, like you could do it on

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Speaker 1: credit card at the simulator or your own math to say,

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Speaker 1: if I close this one, score how much could I borrow?

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Speaker 1: How does that change versus how much I'm borrowing or

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Speaker 1: percentage of utilization am I at now? So everyone should

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Speaker 1: do that. If I close this card, what is my

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Speaker 1: utilization rate? If I close this card, what is my

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Speaker 1: utilization rate? Because ultimately, as you pay off the debt,

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Speaker 1: you can have as little could you borrow cards open

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Speaker 1: as you want because you don't owe anything. That's what

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Speaker 1: you're headed toward. But that's three years away before you're

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Speaker 1: fully like debt free from those cards. One, I just

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Speaker 1: want to say kudos to you for doing the math

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Speaker 1: consolidating it. But the number one mistake that people make

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Speaker 1: after consolidating your card can Mandy's point is they rack

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Speaker 1: up the other cards again. So if you think you're

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Speaker 1: even slightly in that regard, just close it. We will

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Speaker 1: fix utilization later. Just close those cards and focus on

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Speaker 1: that debt because will your credit card take a little

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Speaker 1: bit of a dang? But if you listen to the

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Speaker 1: question before this, you could do that jump like Jordan

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Speaker 1: with something else and pay off a card and full

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Speaker 1: every single month. Does that make sense? So you know,

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Speaker 1: if you know yourself and this too much temptation, close

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Speaker 1: those cards, take the hip, and then the next few

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Speaker 1: years you're going to be building their credit back up again.

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Speaker 1: So all right, well that is QA. Don't expect me

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Speaker 1: to remember the song next week or even next moment.

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Speaker 1: QA today that is the ba.

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Speaker 2: QA Sandy, please forget.

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Speaker 1: Don't do that, Manny see mayby trying to play me.

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Speaker 1: But then y'all be rallying in the emails of the

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Speaker 1: comments like let that girl say, I'm like, thank you'll.

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Speaker 2: That's okay, but yet I am the one, And.

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Speaker 1: Then many will say that, and then next time I saying,

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Speaker 1: Manny will have a shimmy ready, like you know, I

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Speaker 1: kind of like this, She'll be like, that is the

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Speaker 1: b QA. I know, Manny, she'd be like, you know what,

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Speaker 1: it's kind of a vibe. Let me shitty along with

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Speaker 1: the Shenani against. She loves to shiit me with my

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Speaker 1: Shenani against. I love her fool you do you want

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Speaker 1: to do like? Because I mean, we would love some reviews,

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Speaker 1: and so do you want to read a review?

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Speaker 2: This is from Miss number one, especially for Everyday Situation.

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Speaker 2: She loves the episode on life Insurance. She says, who

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Speaker 2: knows when we did that one? But I love when

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Speaker 2: any listener goes back into our catalog and uh bulld

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Speaker 2: up oldie but a goodie. So if you want to

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Speaker 2: leave us a review, please do do it on Apple Music.

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Speaker 2: That's the main place. And tell a friend to tell

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Speaker 2: a friend.

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Speaker 1: Yeah, so listen to BAQ. You know you got that

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Speaker 1: front with that credit issue for this to her as

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Speaker 1: a hint, girl, get it together all right, We'll see

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Speaker 1: you next week.