Build Wealth, Not Credit

BY ALLEN PRIEST

BUILD WEALTH, NOT CREDIT
The Top Line article, “Five Facts about Your Credit” ( JofA , Nov.05, page 20 ), stated “Keeping active is key.”

While continuing to use credit cards may keep your Fair, Isaac and Co. (FICO) score higher, it does nothing to address the real problem for most people. Credit scores are irrelevant if you can get out and stay out of debt. Keeping credit accounts open just to keep up a credit score is simply irresponsible. Pay off the accounts, close them and build wealth with your income.

No one gets rich borrowing on credit cards. Success in financial management does not lie in managing a FICO score. The challenge is managing money to win. And that is done only when you can keep some of it for yourself.

Allen Priest, CPA
Louisville, Kentucky

SPONSORED REPORT

Year-end tax planning and what’s new for 2016

Practitioners need to consider several tax planning opportunities to review with their clients before the end of the year. This report offers strategies for individuals and businesses, as well as recent federal tax law changes affecting this year’s tax returns.

QUIZ

News quiz: IRS warning on cyberattacks and a change in pension rules

Once again, the IRS sounds the alarm about a threat from cyberthieves. See how much you know about this and other recent news with this short quiz.

CHECKLIST

Bolster your data defenses

As you weather the dog days of summer, it’s a good time to make sure your cybersecurity structure can stand up to the heat of external and internal threats. Here are six steps to help shore up your systems.