Credit Advice
Improving Your Credit Score and Rating:
Improving your credit score. So you've had a few problems with your credit lately and the last time you checked your credit score wasn’t the best. Now you’re wondering what you can do to repair the damage and improve your credit report. For starters, you’re not alone, there are more than 30 million people in the United States with credit scores low enough (credit score under 620) to make obtaining loans and credit cards with decent interest rate near impossible. On the other hand your credit is maybe alright, but you'd still like to improve your credit report score. The better your credit, the lower the interest rates you can score on mortgages, car loans and credit cards. Improving your credit report score is a very simple task. Follow the points listed below and before you know it your credit score will be tip top in no time: |
Steps to Improving Your Credit Report and Credit Score:
1) Make sure the information contained on your credit report is accurate and up to date (it’s very easy to order a copy of you report from Equifax).
2) Don’t apply for credit at least three months (90 days) before you apply for a mortgage or loan. You can raise your score by 10% by doing this.
3) Most importantly, pay all your bills on time (if your planning on applying for a mortgage make sure you have a glowing payment history six months prior to applying)
4) Obviously if you have anything in collections get it paid and taken off a.s.a.p.
5) Make a few extra payments to any credit products you may have (credit cards, loans etc.) and try to get the balance down (it looks better in the eyes of your lender and will help your debt to income ratio)
6) Again make sure to get a copy of your credit report to make sure all the information is accurate. Your credit score may be suffering because of an error or ill intent. Improve your credit report be checking it frequently.
7) When improving your credit report, make sure not open a number of new accounts in a short period of time. Opening a number of new accounts will lower your average account age, which will have a negative effect on your credit report score and also makes you look risky to credit lenders.
Improving your credit and raising your improved credit score is a simple. Only seek credit as required and don’t open credit for the sake of having credit. Keep your pre-existing credit and the balances on said credit as low as possible. If you do have a balance on a credit card, make sure to make your payment on time. Improving your credit report is that easy. If you find that you’re unable to keep ahead of the bills consider consulting a professional.
