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Tips To Improve Your Bad Credit Score



You might already know that it’s very important to have a good credit score. However, your current credit score might just be the opposite, which will make it difficult for you to get access to new and reputable credit sources. This is why it’s important for you to act quickly so that your bad credit score will become excellent again in no time.

That said, here are some tips to follow so that your bad credit score can significantly improve:


Get A Copy Of Your Credit Report Every Year

If you’ve never checked your credit report, then it’s high time you did. The two credit bureaus to contact in Canada are TransUnion Canada and Equifax Canada. Each one will usually release a free copy of your credit report every year. You just need to be patient because it takes a few weeks for that report to be sent to you.

Once you get your credit report from either bureau, you should examine each credit transaction carefully to spot errors. Some transactions can be present in one credit report while the other credit report might not have it. It’s very important that you check each transaction attributed to you so that errors can be quickly rectified. If you don’t do that, you might be surprised by how errors can impact your credit history, and downgrade your credit score.


Allow Any Old Credit Entries to Remain, If Accurate

Using debt is often likened to a double-edged sword, which can both benefit and harm you at the same time. Using credit is important because it will show that you can be trusted to repay any debt you got but some people may have a few hits in their credit history, and this may lower their credit score.

If you can repay debts before their due dates, this will form your long-term credit history and your credit score will improve. This means that you are building a history of repaying debts on time, which is what creditors like to see in your credit history.

If you’re in need of cash but have not yet fixed your credit score, you can opt to avail of loans for bad credit, which won’t only allow you to get the money you need but also help you build a more reputable credit history provided you repay the loan in a responsible and timely manner.


Learn To Use Credit Wisely

If you have a bad credit score, that could have been brought about by misuse of credit in the past. If you want to develop a better—even excellent—credit score, it’s necessary to use credit the right way. People have many reasons for having a bad credit score, and one of those may involve fraudulent transactions reported by the creditor and attributed to you. Other reasons could be paying past the due date, defaulting on loan payments, or even bankruptcy. If these have caused you to earn a bad credit score, it would be wise to attempt to rebuild a good credit score by availing of other forms of credit that you are certain you can pay for.

Going for no credit check payday loans is one way to start building a good credit history so that the credit bureaus will perceive you favorably. With this, you will be able to take out a loan and it will automatically be repaid from your paycheck every payday. In the end, you gain a better, much improved credit score.


Increase Your Credit Limit

This is rather tricky because, on the one hand, you want to build up a great credit history. But on the other hand, you should only get credit that you are confident you can pay for. So, you need to strike a balance between these two financial goals. If you consistently repay your line of credit on time and are even able to repay the loan in full, that benefits your credit score a lot.


Set Up A Repayment System To Avoid Late Payments

Credit issuers do not really like credit users to incur huge debts due to late payments. If you do use credit, be sure to set up a repayment system right away. This means using some of your income every month to pay a definite amount. In the long run, you would be paying less penalties and, in due time, the balance will be repaid as well. This will also prove to your creditors that they can trust you to repay any future debts.

Take note that online loans are also a good way to contribute to your credit score if you don’t forget to repay debts. Just keep track of due dates and payment amounts in your organizer or in a spreadsheet in your computer. Remember, forgetting to pay for installment payments is no excuse as far as your creditors are concerned.


Learn How To Use Credit Cards Properly

Credit cards seem to be a much-abused form of credit among credit users since these are relatively easy to apply and qualify for. Therefore, it’s not surprising that many consumers opt to get their own credit cards.

However, this doesn’t mean you should max out each card just because you can. You might be surprised by how much you’ll be paying for. Moreover, don’t keep the balance at high levels month after month since it defeats the purpose of trying to correct your bad credit score. It’s advisable to use only 30% of your credit limit and then repay those loans as soon as possible. That’s one way to a better credit score.

If something happens that makes your income less stable, such as transitioning to a new job, you may be forced to pay only the minimum for your credit card bill. But that’s alright, as it will still count for something. Make it a point to pay more during the next payday so that creditors will see that you’re really making an effort.


Rely On A Secure Credit Card Account

If you have a bad credit score, it may be useful to get yourself a secure credit card account. This will help your credit history look more favorable. To apply for a secure credit card account, it is necessary to deposit a fixed amount first before you’re allowed to use the card. This initial deposit is a form of collateral so that your creditors are assured that if you fail to pay then at least they can get the collateral you deposited.

Credit issuers consider secure credit card accounts as beneficial to the credit history of anyone with poor credit. This is because it shows that you are willing to stay within a budget that you know can be paid for with your income. Credit issuers may be more at ease dealing with someone who stays within certain limits of their spending capacity. If you keep this up, your credit score may eventually go up and you can avail of other forms of credit in the future.


Develop Better Money Management Skills

One major problem that many consumers have is learning how to stick to a monthly budget inclusive of credit payments. If you have a bad credit score, you probably know this well because there never seems to be enough money coming in.

If you want to improve your credit history, you need to set aside enough money per payday specifically for necessities, as well as credit payments.

If you’re unsure how to make a budget, try this simple method:

  • Make a spreadsheet where you can itemize all your regular payments for necessities. In a separate page, encode the amount you need for your credit payments.
  • Then, look at the total amount you need to set aside per month. That’s your magic number.

Does it fit within your monthly disposable income? If yes, then you’re now on your way to developing better money management skills. If not, you may have to adjust some entries in the spreadsheet that you can do without. The important thing is to prioritize being able to buy what’s necessary for your household while also paying for your debts.


Conclusion: Get Help from A Debt Counselor, If Necessary

Some people need the assistance of a debt counselor when they are saddled with so much debt that they find it hard to pay for these on time. A debt counselor can be helpful in identifying problem areas in each credit report you get.

For example, do you consistently keep maxing out credit cards then neglect to pay for the balances? Or maybe you don’t get a copy of your credit report regularly? Some people also like to keep opening new credit card accounts even though previous credit card bills are still pending.

The credit report from each credit bureau will reveal to the debt counselor your habits. The debt counselor can then show you these credit use patterns and explain what you’re doing wrong. This professional will recommend ways by which you can adjust your use of credit so that your bad credit score will be eliminated. This means that if you have way too much debt, you can avoid missing some payments by negotiating a reasonable repayment schedule with your creditors with the assistance of your debt counselor.

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Walking a 'tightrope': Bill Morneau and the path out of the pandemic economy –



Now comes the hard part.

Finance Minister Bill Morneau has, in the space of a few months, approved the spending of nearly $200 billion in federal aid in a deliberate effort to shut down huge portions of Canadian society so that a contagious disease could be contained. Whole new programs have been created and adjusted in a fraction of the time normally required for governments to design and implement new initiatives.

While the virus still poses a threat, the goal of governments now is to restart the economy — or at least as much of it as can be safely restarted. Then, at some later date, it will be time to repair and rebuild.

“What I’ve been saying to to the prime minister and to my colleagues is that as hard as it’s been over the last few months … we’ll look back and say that it was tense and and urgent, but some of the really tough choices will still be to come,” Morneau said in an interview this week.

“Because we’ll need to think about where we invest and how we support people without creating bad incentives. So those are going to be tough, tough choices.”

Wake-up call in Riyadh

Morneau said the scale of the crisis started to become clear to him during a meeting of the G20’s finance ministers in Riyadh, Saudi Arabia in late February.

“I literally watched the Italian finance minister as he got a note to his desk telling him about the outbreak they had in northern Italy,” Morneau said. “Within the next hour or so, he raised his hand to say, ‘This looks like it’s going to be much more significant than we could have imagined.'”

Morneau’s office was in the late stages of finalizing the federal budget at the time; the plan was to dedicate a chapter of that budget to COVID-19 measures. In short order, however, the pandemic shoved aside all plans for a budget.

Changes to Employment Insurance were followed by the creation of two new benefits to help those who couldn’t work. A week later, those two benefits were subsumed by the new Canada Emergency Response Benefit. A wage subsidy to cover 10 per cent of an employee’s earnings was introduced. Widely criticized as too modest, the wage subsidy was subsequently increased to 75 per cent.

Both the CERB and the Canadian Emergency Wage Subsidy required the design of entirely new systems to deliver the funding.

How fast is fast enough?

In its most recent report to the House of Commons finance committee, the government listed 51 initiatives totalling $174 billion in direct supports for individuals and businesses.

All along, there were complaints that the Liberals weren’t moving fast enough or far enough. In April, the Globe and Mail reported grumbles from within government that the Department of Finance had been slow to meet the moment.

“I think when we look back five or ten years from now at the story of the pandemic response, I think the story will be that we acted in scale and with speed that was unfathomable for governments prior to this pandemic,” Morneau said.

“There were literally midnight calls with the people at the Canada Revenue Agency [or] the people who deliver the Employment Insurance system, thinking through every possible way, including the banking system, of getting funds out.”

Both things could be true, of course. The government may have moved with unprecedented speed and scale — and it may have been better off moving even faster.

Successes and failures

Asked if there’s anything he wishes he’d done differently, Morneau points to the federal government’s commercial rent relief program with the provinces, which struggled to gain traction. It might have been more effective out of the gate, he said, if it had been combined with “restrictions on commercial evictions for this period, which would have allowed it to to start with a bigger bang.”

The successes and failures of the Liberal response will be debated for years to come, but recent analysis by economists at Scotiabank estimated that federal aid at least provided a backstop for the economy — turning what could have been a drop of 10.3 per cent in real GDP into a drop of 7.3 per cent.

A closed store front boutique business called Francis Watson pleads for help in Toronto, Many businesses are likely to go bankrupt due to the COVID-19 pandemic. (Nathan Denette/The Canadian Press)

Morneau will release a new official deficit estimate on Wednesday, but the Parliamentary Budget Officer has projected a shortfall of $256 billion — a level of spending not seen since the Second World War.

“I think the essential frame from my standpoint [is] we took on the debt so Canadians didn’t have to,” Morneau said. “We were in the position to take on the investments required because we had the capacity and the ability to deliver at scale that would only be possible for the federal government.”

Scotiabank’s analysis suggests that not spending that money would have led to a weaker economy and an only slightly lower level of government debt. But Conservatives argue Morneau shouldn’t have run a series of deficits in the four years leading up to the current crisis.

An unlikely politician

Morneau has neither the political cachet nor the record of balanced budgets of his predecessors Paul Martin and Jim Flaherty. He has stiffly struggled with the public business of politics (Conservative finance critic Pierre Poilievre continues to torment him at every available opportunity) while having to defend the deficits from 2015 to 2019.

Whatever else Morneau could say about the federal government’s actions, it wasn’t obvious that he had put it on a fiscally unimpeachable path before the pandemic hit.

His lack of political polish has been a hindrance for the government. But Trudeau has kept Morneau in place; in the last 50 years, only Martin, Flaherty and Michael Wilson have held the job longer. And Morneau has had his moments — negotiating an expansion of the Canada Pension Plan, new health accords with the provinces and the purchase of the Trans Mountain pipeline.

Leader of the Government in the House of Commons Pablo Rodriguez speaks with Minister of Finance Bill Morneau before a hearing of the pandemic committee May 13, 2020 in Ottawa. (Adrian Wyld/Canadian Press)

Those who have worked with Morneau describe a serious and analytical minister; one Liberal source described him as a “Blue Liberal” who leans toward fiscal prudence but is not ideological. They say he’s said “no” to more spending requests than he’s given credit for publicly, but has also learned to seek consensus when ministers present him with new proposals.

That task — of balancing priorities — is now a massive one. “I think the tightrope,” said Mike Moffatt, an economist with the Ivey Business School and the Smart Prosperity Institute, “is getting people back to work but in a safe way.”

The government built a system to help people stay home. Now, with the spread of the virus tamped down, it wants to get as many people as possible working again. In theory, the CERB could act as a disincentive to work. But if the supports are withdrawn too quickly, many could be forced into unsafe work situations.

Kevin Milligan, an economist at the University of British Columbia who recently joined the Privy Council Office as a special adviser, has laid out a plan that would see CERB recipients transferred to the EI system, with special attention paid to parents of young children, the self-employed and those with health concerns.

A woman checks out a jobs ad in Toronto on Wednesday, April 29, 2020. (Nathan Denette/The Canadian Press)

“Our vision is that the wage subsidy needs to continue to support businesses as they get back to work … and, as that happens, the reliance on the CERB and the Employment Insurance system will reduce,” Morneau said. “But we do need to continue to recognize that there’ll be a significant number of people that won’t get back to their previous situation immediately.

“So we need to transition the CERB and the EI system so that we have the ability to support those people. How we exactly do that is something we’re working on. But clearly, we want to use the existing infrastructure of our Employment Insurance system to support people who need retraining and to think about what their next steps are.”

A stop-and-go recovery

The wage subsidy, Morneau said, could be tweaked both to expand the number of businesses eligible for it and to adjust the amount of revenue that a company is allowed to earn.

“As we redesign the wage subsidy, we’re thinking about broadening the number of organizations that can make use of that to get them closer and closer to their pre-pandemic revenue,” he said. “And that will allow them to bring people back to work in a way that makes sense for their business without the disincentive.”

Moffatt said the restart is unlikely to be “linear” — that parts of the economy could be turned on and off as outbreaks and new infections occur. A second wave of COVID-19 is still a significant threat.

But even if the federal government manages to adjust its support programs successfully, many working parents will be unable to return fully to work if they lack access to child care and schooling — services that fall under provincial jurisdiction.

A lack of child care options remains an obstacle to returning many Canadians to the workplace. (Ted S. Warren/The Associated Press)

Morneau said he’s “worried” about child care. “That’s why we’ve put in the discussions with the provinces a concern around child care, with specific dollars that we think need to be allocated to creating the necessary supports,” he said.

“Obviously, this is going to be something that will be dynamic, because the situation in the fall is going to be very much related to the health outcomes. And it’s going to have to be collaborative between the federal government and the provinces and businesses to a certain extent …”

The rebuilding phase

The federal government has offered the provinces $14 billion to cover costs related to personal protective equipment, testing and tracing, and child care. But provinces have complained about the sums being offered and the federal government’s insistence on the funds being used for specific purposes.

The restart should eventually set up a recovery phase, when the damage can be assessed and a concerted effort to rebuild can begin. That will present another profound challenge.

The federal government is going to be under pressure to address income and risk inequities in the working world that were exposed by the pandemic. (Jeff McIntosh/The Canadian Press)

The economy is not likely to return to full power immediately. Some businesses and jobs will be permanently lost. There will be demands to address both the vulnerabilities the pandemic exposed (long-term care, child care, precarious work and income inequality) and to seize the moment to build for the future (with a focus on green investments). All that will contend with a need to show that the federal government’s debt can be kept within a manageable range.

Morneau talks about investing in “the gaps that we’ve unearthed” and paying attention to those in vulnerable positions (young people, women and those in low-paid jobs), while looking ahead to where the Liberals think the economy needs to go. “You’ve heard us talk about investing for a green economy,” he said. “We know that’ll be important.”

‘Selling’ the recovery plan

The Scotiabank report noted that Canada’s net and gross government debt still compare favourably to other G7 countries, but one major rating agency has now downgraded Canada’s credit rating. The task of managing and selling the government’s approach to the deficit will be a significant test of Morneau’s ability to project strength and credibility.

“Morneau’s actually going to have to really sell what he’s doing,” Moffatt said, “because I don’t think there is going to be an obvious answer. There is going to be a lot of debate about what should our emphasis be, on reducing the deficit relative to stimulus spending and helping out portions of the economy that are still hurting.”

Tax increases are “not on our agenda” because they might hold back the recovery, Morneau said.

The shape of future spending restraint is less clear. The Liberals came to power arguing that prioritizing balanced budgets above all else was misguided.

The Conservatives presumably will argue for a harder line on the deficit, but Morneau suggested the Liberals’ post-pandemic approach will be broadly in line with their pre-pandemic philosophy.

“What we did with the first four years of government is we made those investments in people. We created the employment growth together with Canadians. That got us into a very strong position,” he said. “We did it while being fiscally responsible, reducing the debt and the deficit as a function of our economy.

“That’s why we want to get back to. We want to get back to making those investments that are going to enable us to grow together and create opportunities. Obviously, we’ve had a huge shock … but the only way to deal with that is if we get back to investing for growth and for employment and for the kind of economic opportunities that come from that. That’s the recipe.”

That might sound easy. It won’t be.

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Across Sun Belt, hopes for economy give way to renewed fears – Yahoo Canada Finance



Across Sun Belt, hopes for economy give way to renewed fears

ST. PETERSBURG, Fla. — At the beginning of March, Joey Conicella and Alex Marin were riding high. Their new Orlando restaurant, Hungry Pants, had drawn rave reviews. With revenue rising, they planned to hire more servers. Sunday brunch service was coming soon.

That was just before the coronavirus struck suddenly, forcing them to close. But in May, as authorities eased safety and social-distancing rules, Hungry Pants reopened at smaller capacity, fueled by hope, hand sanitizer and a government loan.

Now, a spike in confirmed viral cases is making Conicella and Marin anxious about the future — for their business and for the region — even as they keep their restaurant open.

“It’s been a roller-coaster ride,” Conicella said glumly.

For residents across America’s Sun Belt — business owners and workers, consumers and home buyers — the past three months have delivered about the scariest ride in memory. With confirmed viral cases surging through the region, it’s far from clear whether the stops, starts and bumps in the economy have ended. Or are they the new normal? Will the Sun Belt remain gripped by doubt and uncertainty for months or years?

What is clear is that no one feels able to relax and assume the best.

“I’m very nervous,” said Danielle Judge, owner of Rowdy’s Pet Resort in Apollo Beach. “I’ve put my life’s work into this business, and it’s really hanging on a thread.”

Judge had thought the worst was over after she had managed to reopen in May and her loan from the government’s Paycheck Protection Program had gone through. Now, her business is stalling once again as reported viral infections have accelerated. Again, she’s worried.

“I didn’t fathom that a whole country could stay shut down and affect people’s businesses and people’s livelihoods for the duration of time that it has,” Judge said.

That unease stems from a disturbing truth about the pandemic: No one, not even the top experts, can say when a vaccine or an effective treatment might be in sight.

“We don’t know when this Covid-19 is going to end,” said Aakash Patel of Tampa, who runs Elevate, a consulting firm involved in public relations and marketing for businesses.

Patel had thought things would return to “normal” by perhaps September. Now, he’s thinking January. And he’s trying to stay upbeat.

“We all fell together,” he said. “We’re all going to rise together.”

It isn’t just business owners in the region who fear for the future. It’s consumers, too.

In Scottsdale, Arizona, Jim and Bobbi Moss had been banking on what looked like a promising economic rebound, only to lose some hope and retreat into a strict limit on their discretionary spending. They now make all their meals at home, and online shopping, Bobbi Moss said, is limited to items that “sustain daily living.”

“We’re not spending online, saying, ‘Gee, it might be nice to have this or do that,’ “she said. “We’re not doing any of that.”

The couple, who run a tax consulting and financial services business, say many of their clients — from couples in their 30s to retirees in their 80s — feel whip-lashed by an economic stall-out after the brief rebound a few weeks ago. Clients are rethinking investments, Jim Moss said, or delaying home purchases. Some are considering reverse mortgages because they worry about their cash flow.

“Three weeks ago, people were cautiously hopeful,” Bobbi Moss said. “Now, it’s frustration.”

In Arizona, Gov. Doug Ducey has ordered bars, nightclubs and water parks to close again for at least a month. Those businesses had been allowed to reopen when a previous stay-at-home order expired in mid-May.

In Texas, too, Gov. Greg Abbott in May had green-lighted one of the country’s earliest and most aggressive re-openings. But by the end of June, the state’s daily rates of newly confirmed cases and hospitalizations had quadrupled.

So last week, the governor reversed course. He shuttered bars, restricting restaurant dining and barred elective surgeries in eight counties. On Thursday, he went further: He issued a mandatory face-mask order for most of the state.

Florida officials have also shut down bars for a second time. Yet the state’s approach has been defined by a patchwork of varying rules, with officials in South Florida, where viral cases have spiked, being the most stringent. In Central Florida, by contrast, some theme parks have reopened. Disney’s Magic Kingdom and Animal Kingdom are set to reopen July 11, Epcot and Hollywood Studios four days later.

Danielle Savin has been a personal witness to the wildly uneven ways in which states have responded to the virus.

Savin owns two bars — one in New York, one in Miami — that were forced to close for months. When the pandemic first hit and New York was the country’s epicenter, she feared most for her business there. No longer. Now, it’s the Miami location she worries most about. She’s required to close it at midnight because confirmed cases in Florida have soared.

“Being in Florida right now with COVID is like trying to play Pin the Tail on the Donkey at a 5-year-old’s birthday,” said Savin, co-owner of Bob’s Your Uncle, a bar with a neighbourhood vibe that had been open a year when the virus struck.

The business model had to be swiftly changed, with more focus on food, more kitchen staff and a staggering of shifts to comply with restrictions. Sales have declined, though. Savin and her co-owner have been working with their landlord to help with rent payments. Still, she started a GoFundMe page that has raised about $3,000 to help struggling employees.

“It did feel when we reopened again that we had to open a restaurant from scratch,” she said.

It is a sentiment felt, too, by Joe Ables, who owns Saxon Pub, a live-music venue in Austin, Texas. Ables had closed his doors in March. He didn’t reopen even when Texas allowed it at up to 50 per cent customer capacity.

“I lose less money by staying closed,” Ables said.

He sought and received federal aid to support his six full-time employees. But given that Texas has now shuttered its bars twice, he’s settling in for what he fears will be a long dark period for businesses like his. Ables thinks the state will be cautious and likely slow about reopening them again.

In Austin, which bills itself as the “Live Music Capital of the World,” Ables has watched some clubs close for good and musicians and production workers leave the city. The state’s second shutdown of bars could inflict further damage.

“I’m worried about the club scene,” he said. “There is permanent damage.”

Even so, Ables said he holds out hope for an eventual rebound, perhaps in 2021.

“I think we all have to believe,” he said, “regardless of whether it’s war or famine, that we’re going to come through it.” ___

Vertuno contributed from Austin, Texas. Kelli Kennedy also contributed to this report from Fort Lauderdale.

Tamara Lush And Jim Vertuno, The Associated Press

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Croatia holds election amid sharp economic downturn, rising coronavirus infections – The Guardian



By Igor Ilic

ZAGREB (Reuters) – Croatia held an election on Sunday at a time of rising coronavirus infections and a sharp economic downturn from the pandemic, with the outcome likely to lead to political negotiations to form a new government.

The ruling centre-right Croatian Democratic Union (HDZ) has had a slight advantage in most opinion polls over its main rival, the Social Democrats (SDP), but neither party is seen being able to govern on its own.

“At these challenging times both for public health and the economy Croatia deserves to be led by experienced and responsible people,” Prime Minister and HDZ leader Andrej Plenkovic told supporters this week, hinting at his two top opponents’ lack of vision and experience.

They are SDP leader Davor Bernardic and popular singer Miroslav Skoro, whose nationalist and eurosceptic Domovinski Pokret (Homeland Movement) has fared third in the opinion polls with just above 10% support, compared with close to 30% for the two top parties.

Polling stations opened at 0500 GMT and will close at 1700 GMT when the exit polls will be released. The first preliminary official results are expected around two hours later.

“My choice is Skoro as I believe his party wants stability and to stop the young people from moving to seek jobs abroad,” said Ilija Grlic, a voter from the Zagreb area.

The new government will have an uphill task to keep a grip on the coronavirus while trying to restore the economy, expected to shrink some 10% this year. Tourism revenues are forecast to slump 70%.

“I think that the SDP could be a relative winner, but that the HDZ could be the one to eventually form a (coalition) cabinet,” said Kristijan, a teacher, before casting a ballot.

Some analysts believe that the two biggest parties may be forced to join forces, as the alternative of trying to form a stable government with junior partners, such as Skoro’s Homeland or the conservative Most (Bridge) party, may prove difficult.

Both Plenkovic and Bernardic have firmly rejected the idea of a “grand coalition”.

Croatia has reported a relatively small number of coronavirus infections — 3,000 COVID-19 cases and around 100 deaths recorded so far — but infections have accelerated in the past two weeks, with the daily number of new cases currently peaking at around 80.

(Reporting by Igor Ilic; Editing by Frances Kerry)

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