Episode 99: Your Complete Guide to Credit, With Bank of America Exec Mary Hines Droesch
Do you know why your credit score really matters? Do you want to improve your credit score, or make credit cards work better for you? On the latest episode of The Everygirl’s Guide to Building Wealth series, Josie is joined by Mary Hines Droesch, Head of Consumer, Small Business & Wealth Management Banking and Lending Products at Bank of America, to offer a complete guide to credit and why credit matters more than you may realize. From how to improve your credit score to the best practices when using a credit card, this bonus episode is a masterclass on a topic we're not talking about enough.
SHOW NOTES:
This interview with Mary Hines Droesch of Bank of America begins with Josie asking Mary to explain what a credit score actually is, and why it matters. Mary explains that a credit score shows how you go about using credit, like a grade to show how you are with saving and spending money. Josie asks Mary how a credit score can impact your future, and Mary discusses how a credit score can change your ability to qualify for loans and possibly a mortgage, as well as other financial barriers you might need to break through in the future. Mary also explains how a credit score is measured, from your length of credit history to your actual credit usage. She and Josie discuss the utilization rate that is good for your credit score, and the myth that you should be maxing out your credit card every single month as you use it. Mary emphasizes the importance of paying back your credit card bills on time—according to her, this is the single most important thing to pay attention to in order to ensure that you have a good credit score. Josie and Mary talk about when you should ask for a credit line increase as opposed to when you should try to keep your credit utilization low. Josie asks Mary what users can do to correct past mistakes and increase their credit score, and Mary provides several helpful tips. Mary also reveals how frequently people should be checking their credit scores, and why it’s important to keep up a regular cadence of ensuring that your billing is correct. Then, Josie and Mary get into the details of certain types of credit cards, including which may be best for you and how to receive benefits from your credit card (in addition to credit itself). Finally, the episode closes with Mary sharing her best credit practices, from using autoplay to educating yourself in order to ensure that you are staying financially responsible.
Must-Listen Moments:
[00:40] Deep Dive into Credit Scores: Understanding the Basics
[04:50] Maximizing Your Credit Score: Strategies and Misconceptions
[08:13] Recovering from Past Credit Mistakes: Tips and Tricks
[18:41] Starting Out with Credit Cards: How to Choose Wisely
[22:41] Best Practices for Using Credit Cards
[23:59] Empowerment Through Understanding Your Credit Score
More from The Everygirl:
Find and listen to more episodes at https://theeverygirl.com/