Mobile Apps Can Help You Watch Your Credit and Prepare for a Home Purchase

They help you find the hot new bakery, map out a vacation or buy movie tickets on the fly. But mobile applications (apps) aren’t just for fun and entertainment. They’re great for turning your smartphone into a fast, convenient tool to better connect with your credit  as you’re preparing to shop for a new home.

Lenders review your credit report and score when deciding whether to extend you credit. If you’ll be applying for a mortgage, managing your finances and knowing all you can about your credit can help you put your best foot forward during the loan-application process. A number of mobile apps are available to help you take charge of your money and credit, including important functions such as:

  • Paying bills – A variety of apps, available for both iPhone and Android devices, allow you to track your bills on a calendar and receive email reminders or alerts on your device when a bill is due. Some will even allow you to pay the bill immediately through the app, or schedule a payment for a future date. Since bill payment history is often a major factor in your credit scores, keeping track of bills and ensuring they’re paid on time can help you improve your credit standing.
  • Budgeting – Creating a personal budget can be a great way to get a clear picture of your current finances, improve your saving and spending habits, and stay on track toward your financial goals. Budgeting apps allow you to enter and track expenses and income on your mobile device.
  • Credit monitoring – Apps like the freecreditscore.com app provide you with real-time credit updates. You can also use the app to monitor your credit report, find out what factors in your credit report are influencing your credit scores, and even play with an estimator that forecasts how certain financial choices may impact your credit scores.
  • Investments – Many big advisor companies offer apps that help you monitor your current investments, receive market news and even get alerts when opportunities arise.

When you’re preparing to buy a home, having a handle on your finances and credit will help you move toward your ultimate goal. A good credit report and credit score can be great assets when you’re applying for a mortgage, and help a lender assess your ability to repay the loan.