Financial Resolve Turns in New Buyers.

Every January most people think of a New Year's resolution. Spring approaches and body fat review season begins. According to the National Foundation for Credit Counseling, Silver Spring, Md., however, June, otherwise known as national homeownership month, is time for a midyear checkup and the improvement of customers' financial wellbeing.

One can argue that a financially healthy person and family is less stressed and potentially more successful in their efforts to lose pounds, quit smoking, or correct other wrongs of yesterday.

As we cross into the second half of 2008, NFCC suggests we review our financial resolutions and goals, such as: "Have you paid for your holiday 2007 purchases? If not, and you're still charging, your debt is growing faster than the national debt." There is a simple reason fro everyone to hurry up and pay off credit card debt: earning interest instead of paying interest, NFCC said, and it also lowers one's credit utilization ratio, which improves the FICO score.

Borrower education can happen through different venues, including lenders and nonprofits, but another simple way borrowers should know about is a home-based financial center. Whether it is a shoebox, or a full-blown home office, NFCC said, the point is to create an easily accessible area where all financial records are filed. After all on average late fees are about $40 plus the negative effect on the credit score. Data show that even though every 12 months borrowers can obtain free credit reports from each of the major bureaus, the 2008 NFCC-MSN Money Financial Literacy Survey found that only a minority of Americans had ordered their credit report. One-third or roughly 72 million adults, "readily admit they do not know their all-important credit score."

Both borrowers and lenders should be interested in regular credit report data that also help identity theft and fraud. It is a known fact that many borrowers are not aware a person's credit score determines what the interest will be on loans and credit cards, or whether a mortgage application is ...