Have you been hit with a larger-than-expected tax bill? Are you concerned that you’ve let back taxes pile up for too long? In order to repay oversized tax debts, you may need to access a lot of money at once. With bad credit, you could have a hard time doing just that!
Most people know that their credit score will affect their ability to buy a house or a car, secure a bank loan, launch a new business, or qualify for a credit card. What you might not realize is how credit issues can affect your tax problems. Taking steps to improve your credit now can save you a lot of hassle when tax troubles strike.
Here are a few ways to boost your credit rating:
- Contact credit agencies to correct errors on your report as soon as possible, and do it in writing
- Pay all bills on time—a single late payment can affect your credit score
- Try to keep a stable residence and job
- Avoid letting credit card balances get too high
- Put money toward high-interest cards first, while paying the minimum on others
- Ask credit card issuers if you’re eligible for a lower interest rate
Taxation Solutions, Inc. can talk you through these and other credit strategies when you call to discuss your tax problems. We’re the San Antonio area’s trusted choice for tax help. Get in touch today to book your consultation with one of our tax resolution specialists.