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It only takes six months to ruin your credit... and six years to fix it!

(iStock Photo)

VANCOUVER (NEWS 1130) – When students return to campus in the fall, credit card companies will be waiting for them.

Chantal Chapman with Mogo Financial says it can be tempting for students, when they get to post secondary, to want to apply for a new credit card. But she says if you’re not careful you can ruin your credit rating in just half a year.

“[You could] destroy it so bad that any time you go apply for a loan, the lender’s going to turn away and say no. If you miss six months worth of payments, the rating on your credit bureau will be so bad,” she warns.

Chapman suggests learning about the safety loop:

“Take your Netflix account, for example. Pay that on your credit card because you know that will be the same price every single month. It’ll come out of your credit card every single month. Then go to your bank account and have your bank account automatically pay that payment.”

She says a bad credit problem because of six months of missed payments could take six years to fix.