While a good credit score can open doors for opportunities, bad credit score closes them for you. You can get reasonable insurance rates, bank loans with low-interest rates, and credit cards with premium offers. All you need is, learn to increase your credit score. You might hear about easy and quick tricks to improve credit scores but don’t fall for that. It is not very difficult but not quite easy.
To start with the process of improving credit score, first of all, check your current credit score to figure out how much improvement you need. Now, when you know about your range, take some of these measures to improve them.
Start making your delayed payments. They are a significant factor in reducing your credit scores. Try to remove maximum objections related to your bankruptcy, defaults, and late fees. Payment history is the primary influencer of credit score with 35% of the total percentage.
Keep your available credit limit in good condition. If you are exceedingly using your credit card, it means you are affecting your credit scores. 15% of the credit score comes from your credit card length history.
Debt records are not always bad for you. In terms of credit scores, if you have timely paid your debts, they can help you earn the credibility of lenders. But late payments, defaults, and bankruptcy charges are gradually removed from your scores.
When you pay your utility charges on time, you get rewards in terms of improved credits. Experian Boost is a new service to help retrieve your bank payments to improve credit scores.
Never open more accounts with low balance. Open bank account only if required. As the more the number of accounts, the more hard inquiry you will follow. And as a result, you will get variable credit scores.
Another option which is not entirely safe and has alternative consequences is to take some one’s else account — a person who takes good care of his credit score. You can become an authorized user of that account and improve your credit score.
If you have more than one account on your name and you are not using them quite usual. You might want to close them to avoid unnecessary addition to your credit score. Be cautious about those accounts. Close only those accounts which have zero or low balance. If you have credit with balance, don’t close them. It is a plus point on your credit score.
My sincere advice at the end is never looking for shortcuts. Be patient, and you will see the results.