 TITLE: How Can Cell Phone Bills Help Build Credit? CONTENT: Why It's Important to Build Credit\n----------------------------------\nAdding a cell phone and other non-traditional accounts to your credit reports can make sense if you don't have much on your reports. This is known as having a thin credit file, which typically consists of four or fewer accounts. It's hardly a unique situation. About 26 million Americans have no data on their credit reports, while 62 million Americans have too little. Without information on your reports, you're a mystery to lenders and other businesses. Because the past may be a predictor of the future, a thin credit file makes you an automatic credit risk to lenders.\nOn the other hand, a thick credit history and a high credit score will help you in a variety of ways. For example, you can more easily:\n*   **Purchase a home**. Your credit scores are the most important factor to a mortgage lender, so if yours are too low, you will likely have a hard time getting a home loan or face prohibitive interest rates.\n*   **Buy a car**. Those ultra-low-interest financing deals—including 0% APR offers—are usually only available to people with excellent credit scores.\n*   **Obtain personal and business loans**. If you want to borrow money to pay for personal expenses or to launch your dream business, your credit scores need to be in good shape.\n*   **Qualify for premium credit cards**. Many credit cards offer valuable rewards programs, but they typically require good to excellent credit scores.\n*   **Rent an apartment**. Landlords often depend on credit reports and scores to determine how financially responsible a tenant you might be. If yours are unimpressive, your application may be rejected.\n*   **Save on car insurance**. No one wants to pay more for car insurance than necessary. If you have good scores, you may be eligible for discounted premiums.\n*   **Keep the initial outlay on utility costs low**. With a decent credit score you won't have to submit a security deposit to start a utility account; but if yours are poor or nonexistent, it may be required.\nIn short, a high credit score helps you keep costs down and opportunities open. So if you weren't inspired to join the 700+ club before, you should be now. END