It’s very easy to improve your credit score. You probably would have to think in such way which is: consistency x time = a red-hot credit score! We have done some research and have finally put down the list of important factors that will gladly help all of you folks to improve the credit score over the period of time actually.
Step one, Timely Pay the bills
Since everyone knows that making late payments or getting default in repayments are definitely a good credit score killer. But guess what? after doing some research, thankfully it’s an easy fix.
So Let me give you 3 brilliant and easy steps which will make your credit score up by 100 points!
- Make Sure to deal with your past bills due.
- Always stay a little below of your credit limit
- Keep your credit reports error free
Do you know your way to a better credit?
If you would like to build a better credit score than in this article we will explain how you can easily follow these basic steps and how to you can take it to the very next level. And oh yes one more thing, you can also aim for the expert level.
Fix errors of your credit reports
As per Federal Trade Commission, we have come to know that 5 percent of consumers are unaware that they have errors in their credit reports which results high price for the insurance or financial products. Every 1 out of 4 reports always contain errors that may have negative impact on your credit scores.
So what’s next? Well once we have fixed the errors of our credit reports we need to put an eye out for any or every possible negative marks. If everything is foxed you can always go and check if you want some fast loans.
You need to keep yourself way below your credit limit
We need to utilize our credit and this is the proper way of using our credit limit you use and it has surely a big impact on our score score.
First thing we need to implement is by making small multiple payments which usually called micro-payments. It will keep the balance down in that particular month. We can also treat our credit card as our debit card once we know that we have made a purchase.
Second thing which we can do is ask for a credit limit increase. when we know that the limit is up now then yes possibly it will also keep your balance the same and your utilization will also remain the same. We can also check with our card issuer,to check if they can increase the limit without doing any hard inquiries or so. Hard inquiries can be critical for our credit score so better stay off from them.
Get some debt. Yes if we get a debt consolidation loan, it can definitely reduce and eliminate our card balances which will also lower the utilization. Getting a personal loan at a better rate than your credit cards could save us money in interest for sure.
You need to Deal with your past-due bills and get on with pending payments
One should know that if they don’t have strategy to bump their credit score then it will only work unless we are making the payments on time. Do you know why? Because payment history is one of the biggest influence on our credit scores.
If you think you are behind on payments for particular accounts then you need to call the creditor and make the arrangements to pay up and ask them if this can rescind the reported delinquencies so they will no longer appear on our credit reports.
If we are struggling with a low credit score and we think that we are not in a good position than make sure we are well positioned to make gains than someone with a good powerful credit history.
So we hope we have given you quite the right things or you can say head start to get it right but remember, always do the research first in order to proceed further with making good decisions for a better credit score. Enjoy!