Tag Archives: Improve Credit

How to Improve Credit Rating – Boosting Your Credit Score in a Hurry is Easy!

Gressly Stevens asked:

If you are looking to get your credit score to go from very bad to great, then you need to know what you can do to make this happen and fast. There are many things you can do to protect your credit rating and you need to know how to improve credit rating so that you can go from a horrible rating to a great rating. Credit is very important and you should know that if you have great credit door will open much easier for you when you need cash for a purchase or for an emergency. Here are some credit boosting tips for you.

1. Do not let your Credit get checked too much

When too many companies are looking into your credit it actually will cause your score to drop. When you are shopping for any type of financing or anything else that will cause you to have your credit pulled you should be the one to pull it. Pull your credit from all three of the agencies and take the reports with you to get quotes. Then, when you pick a company to go with you can let them pull your credit.

2. How to improve credit rating fast

When it comes to your credit and how to improve credit rating you need to know that the easiest way to get a higher rating is going to be to pay off some debts. However, most people think if they pay off one bigger debt it will affect their score more than paying off a few smaller debts. This is not true and you should start by paying off all the smaller debts that you are behind on first. This will boost your score faster than anything else.

3. Building Good Credit

Another thing you can do to help offset some of the bad debts you have is to get some good debts. You can get a credit card with a small limit and keep it paid off every month. Make sure you do use it, but pay it off every single month and this will help to build some credit on the positive side, which will help to boost your score.


Steps to Improve Your Credit Rating (Part 2)

Liam Gerken asked:

Lenders like stability

This is shown in a number of ways, for example being with the same bank, employer and at the same address for a few years. Basically, the more stable your current situation is, the higher your credit score will be.

For instance, homeowners are more likely to score higher than those who rent. If your home has a landline it’s always best to put this down on applications over any mobile number, as this helps with security checks.

Also, the longer you have been with a particular employer the better, and those that are self-employed may find it harder to get approved, even with a large income.

Get closure

Contrary to popular belief, keeping multiple disused credit accounts open is not always a good move, especially if you’re trying to boost your credit score.

All this shows prospective lenders is that you could run up a lot of potential debt, which obviously might make them reluctant to open up further more lines of credit.

It is important to note too, that simply cutting up a card doesn’t close the account, it merely prevents you from using it. Also, even after a phone call to the lender, requesting closure of the account, it will usually be left open for a short while. It is a good idea to give them a call again in a few months time to confirm the account’s closure.

Building/rebuilding your history

First-time applicants are likely to find it quite difficult to get accepted for any lower-rate credit deals. This is because of their lack of credit history.

One of the things about credit scoring is that it aims to predict what you will do with any new credit, based on your past habits.

Therefore, if you are new to the world of credit, then there is no way of predicting how you will use it. For this reason, many first-time applicants will find themselves lumbered with higher interest rates.

It’s best to continue with any high-rate card or loan offered for up to a year, making sure you spend a little – and always make repayments in full, to avoid any ludicrous interest charges.

Once you have done this and have built some (hopefully positive) history you shouldn’t have any problem applying for lower-rate products.

This method can also be used to repair bad credit history.

Don’t miss any repayments

Although it’s always recommended to make more than just the minimum monthly repayment, if you are struggling to meet repayments, it’s always best to pay at least the minimum than to pay nothing.

Doing otherwise, even just the once, can seriously damage your credit rating.

If you are continually struggling to meet monthly repayments then it is usually a good idea to call the appropriate lenders. They may be able to arrange an alternative repayment schedule.


How Do I Improve My Credit Rating?

Benjamin Robert Ehinger asked:

Are you trying to improve your credit, but you have no idea how to do it? Do you want to know how to jump your credit score by over 100 points in less than 6 months? There are ways to answer the question, how do i improve my credit rating, but it really has to be taken on a situation by situation basis. Here are some general tips to help you.

First, one of the easiest ways to improve your credit score it to payoff delinquent debts. Even if it is just a $50 debt having it paid off will help your credit score. You should make a list of all your debts starting with the smallest one and pay them all off until you get to the largest one. They are counted as one delinquent debt whether they are $50 or $5,000 so paying off a few of the small ones will help quite a bit.

Second, you can also help your credit by having a credit card, loan, or some other type of financing that you have paid on time. This will help out weight the negatives on your report. Make sure you keep these debts paid on time so that you do not have to worry about whether or not your credit has positives on it. Plus if you miss just one payment they go to the delinquent side and you will have another one to deal with over there.

Last, you can keep your credit score from dropping by not having your credit ran very often. You are only allowed 3 times of having your credit pulled every 90 days before your score drops from it being pulled too much. It will drop 3 points for every pull that happens over 3 in a 90 day period. You can combat this by pulling it once yourself and using the score to shop around for the financing you want and when you find it let them pull your credit.