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What Is a Trade Line Of Credit?

The secret of using tradeline well in improving the credit score lies in being proactive – ensuring that the accounts appearing on the credit report are in good shape before being reported by creditor and lenders instead of taking action after the credit score has been damaged completely. For efficiency, it is wise that you understand the data included in tradelines. You can click here to understand what is a trade line of credit.

The primary account details include the contact name, address and contact info for the lender or creditor account number. The kind of accounts opened by a person influence the credit score. They include the open revolving accounts the installments accounts, and open accounts. The account ownerships tell the person responsible for making payments. There are different categories like individual, joint, authorized user and cosigner.


Payment status and terms reveal and dictate how to pay the bills. The best case is paying on time, and late payments start on the thirtieth day and continue to sixty, ninety, one hundred and twenty, onwards. Together, this info reveals the payment history which can be viewed on the credit report for about seven years. The critical account dates or the milestones on the account like the date it was closed or opened as well as the date it was reported (the last time the item was updated or reported on the credit report.) the extra credit info includes the balances owed and the credit limit.

After understanding tradelines and their relation to the credit score, you can see the importance of reviewing your credit reports regularly from the different credit bureaus. Bear in mind the fact that having few tradelines on credit reports will not equate to having high credit scores. Individuals with several active tradelines in good shape (no maxed out or missed payments) including good types of credit accounts opened for about two years, end up having high credit scores. Other than consistently paying bills on time, below are a few ways of understanding the workings of tradelines in boosting credit scores.

First, you can turn the monthly rent payments to new tradelines such as Superior Tradelines. Rent is for most individuals the most significant monthly payment. Since you cannot report rent payments directly to credit bureaus, many landlords are not accredited reporters, work with the certified credit reporting agencies.

You must carefully check the tradelines on credit reports to fix any mistakes. It is your right to dispute any errors in credit reports. Unlike reporting of tradelines to credit bureaus, you can directly contact credit bureaus to sort any incomplete info or mistakes.

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