Whether you are trying to improve your credit or are looking for better opportunities in the future, there are three quick and easy things you can do to increase your credit score.
If you have had some trouble with credit in the past you might feel like rebuilding a solid credit history will be a daunting task.
While it will take some time to prove you are a consistently responsible consumer, there are a few simple things that you can do to help boost your score now, which will definitely pay off down the road.
Of course, if you are not currently dealing with any kind of past credit issue, you can use this strategy to help you get ahead in the credit game.
First of all, if you want to improve your credit score you can set a goal to pay off, or at least pay down significantly, one or more of your credit cards.
This is, essentially, the only way that you have complete control over your credit score. By reducing your liability it will, inevitably influence your credit score. A single increase in payment on one of your credit cards, then, will produce immediate results.
While the change may not seem significant in the beginning you will quickly find that this option is very simple and can be performed regularly or sporadically and as often as you like and will always help you. Obviously, this is a strategy that only works if you make the payment and then refrain from using the card (which would offset the improved payment that you made in the first place).
Another simple thing that you can do to help lower your credit score in a short amount of time is to actually check your credit report.
The recent credit card reformation that saw so many new laws and regulations pass actually provides every consumer in the United States one free peek at their credit report every single year. This is not just so you can see where you stand in the financial industry but it is so you can make sure that all of the information is correct.
Credit report errors are actually more common than most people think and a single error on your credit report could mean the difference between approval and denial and between a 30 percent interest rate and one below 10 percent. Dispute any errors and have them fixed and repaired as soon as possible.
The other reason why it is important to check your credit report is because you may not realize who has been trying to acquire your credit score. The more hard inquiries you have on your credit history, more negatively it will affect your credit score. Of course, this will hurt you in the long run so be diligent about the information on your credit report.
Finally, if you really want to improve your credit score in a short amount of time then you need to formulate a plan for responsible credit management. This does not necessarily mean that you have to pay everything off as quickly as possible (though you should work out if and how that will be possible).
Instead, you need to be able, at the very least, to make your payments on time. A single missed payment can reduce your credit score by 100 points or more. On the other side of that, though, by simply getting back on track and continuing to make your payments on time you will be able to undo any damage that this might have caused. Furthermore, consistently steady payments will also improve upon any errors or missteps of your past.