Tips to Support Building and Maintaining Good Credit

F & M Community Bank Shares Tips to Support Building and Maintaining Good Credit

F & M Community Bank and the Independent Community Bankers of America (ICBA) are offering tips to help customers plan for their financial future by establishing and maintaining good credit habits for financial wellness.

“Establishing financial independence and building good credit begins with sound money management principles,” said Tamsen Leimer VP Business & Mortgage Banking at F & M Community Bank “At F & M, your local community banker can work with you to develop a budget that reflects your short- and long-term financial goals to help avoid financial pitfalls and set you up for financial success.”

F & M Community Bank and ICBA offer the following tips to help build and sustain good credit:

• Open a checking account and keep track of your balance to help establish a credit history.
• Use debit and credit cards for convenience and safety, but don’t overspend or miss payments, which can negatively affect your credit score.
• Develop a mix of credit (such as a revolving credit line and an installment loan) to demonstrate your proficiency managing several types of credit.
• Show stability in the three to six months before a major purchase. Avoid opening or closing accounts or moving large amounts of money around.
• Build an emergency fund equal to at least six months of living expenses to help absorb unexpected expenses and avoid penalties and fees for missed or delinquent payments.
• Alter your credit focus as you approach different life stages. While Gen Z might be saving for a down payment, Gen Xers or baby boomers may be paying down debt or planning for retirement, respectively.
• Monitor your credit to correct any errors and detect potential signs of identity theft. Order your credit report annually from www.annualcreditreport.com.

“To help maximize your available funds and help recover from temporary financial roadblocks, it is essential to establish good spending and saving habits early,” ICBA President and CEO Rebeca Romero Rainey said. “Your community banker can help provide sound financial advice as you navigate important financial milestones and plan for the future.”

To find one of F & M Community Banks local branches, visit ICBA’s Community Bank Locator at banklocally.org.