How to improve your credit score

Real Estate Agent

As we all know, our credit score is an important part of our financial life that can affect our ability to buy a car or a house.  It really does play a huge role in our financial life whether we like it or not.  While we have all heard about a credit score, not everyone really understands what it is and most importantly how our financial behavior in life influences our score for good and for bad.

The credit score is a 3 digit number that ranges from 300 to 850.  The higher the better when it comes to qualifying for a loan.  A higher score also means you will be paying a lower interest rate than if you had a low score.   What follows are 10 tips to improve your credit score.  My thanks to Jeff McMullen from California Mortgage in Carmel for providing this useful and timely information.   Jeff can be contacted at 831-622-2236 for any questions related to financing the purchase of a home.  He is an upright man who looks out for his clients needs.


1.  Apply for and open new credit accounts only as needed.

2.  Don't close unused credit cards as a strategy for raising your score

3.  If you are trying to build credit, don't open lots of new accounts too rapidly.

4.  Pay off debt rather than moving it around.

5.  Try to keep balances low on credit cards and revolving credit.

6.  Pay your bills on time. Payment history contributes 35% of your credit score.

7.  Reduce your debt loan.  Come up with a plan to chip away at debt.

8.  Dispute errors.  An error on your credit report can cost you valuable points.

9.  If you have missed payments, get current and stay current.

10.  Check your credit report every 4 months.  There are several free services available on line.

Comments (1)

Winston Heverly
Winston Realty, Inc. - Atlantis, FL

I really enjoyed your post, looking forward to using your advice in the near future. Thank's for sharing.

Sep 17, 2016 10:48 PM