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Effective Ways to Raise Your Credit Score

By
Industry Observer with CixxFive Conceptes

Most people think it takes a long time to raise their credit score, and usually, that’s the case. However, with some guidance and commitment, you can find out which areas of your credit need the most work and tackle them first to raise your credit score quickly.
Here are a few tips to getting your credit score pointed in the right direction.

Get Your Credit Report

Regardless of whether you have good or bad credit, it’s important to know where you stand and where you need to make improvements. Your credit report is available to you for free. Get a copy so you can first check for inaccuracies and fix those as soon as possible. Checking your credit report is one the first steps you need to take before credit repair.

Check For Inaccurate Credit Lines

Once you have gotten your credit report, pay close attention to the credit lines you have open. Check that all items on the report are ones that have been opened by you and that the information is accurate.

Check Payment Frequency

One step to getting your credit score going in a positive direction is to pay bills on time. When you get your credit report check the timelines of your payments. Make sure to dispute any recorded late payments listed if they’re inaccurate.

Watch Out for Hard Inquiries

Another ding to your credit score is the number of hard inquiries companies make on you. If there are too many inquiries made too quickly, it will negatively affect your credit score. Check the inquiries made in your report and dispute any if they’re incorrect.

Know What’s Important

The two most significant factors that make up your credit score are the debt to credit ratio (30% of your score) and payment history (35% of your score).
Payment history is just what it says: How timely are you with payments? Even if you’ve had late payments in the past, making on-time payments going forward will improve your credit score.
The credit to debt ratio is how much debt you’re carrying related to how much credit you have. Carrying lower debt on high credit accounts improves your score. So, work to pay down those high debt accounts as quickly as you can. Also, beware of carrying zero balances. Some creditors will close the account due to inactivity, which can hurt your credit score.
By monitoring and working on these critical areas, you can significantly improve your credit score quickly.

Varieties of Credit

Creditors like to see credit spread around. Having only credit card tradelines does not look as good to a creditor as having a mix of credit cards, mortgage, student loan, and automotive tradelines. Having diversity will also help improve your credit score after repairing your credit.

Beware of New Credit Lines

While it’s only 10% of your score, be careful when taking on new debt. If you open too many lines of credit too quickly, your credit score will suffer. It’s easy to fall into the trap of thinking that getting a lot of new credit cards or lines of credit quickly will improve your score — it won’t.

Comments (5)

Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

It's never too late to start repairing your credit. A great resourse to help get you on track is CreditKarma & it's free.

Oct 29, 2018 02:17 PM
Michael J. Perry
KW Elite - Lancaster, PA
Lancaster, PA Relo Specialist

There are often mistakes that can be repaired . FHA is the way to go with low FICO's !

Oct 31, 2018 11:11 AM
The Woodland Team of Texas
The Woodland Companies - Austin, TX
Land Specialists

Welcome to ActiveRain, I hope that your participation here helps your business to grow.
Btw, I followed your blog, and would be honored if you followed mine.
Thank You!

Nov 01, 2018 01:16 PM
George Souto
George Souto NMLS #65149 FHA, CHFA, VA Mortgages - Middletown, CT
Your Connecticut Mortgage Expert

Anthony Atkins welcome to ActiveRain, and congratulations on successfully posting your first blog on this site.

Nov 02, 2018 10:49 AM
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

Welcome to Active Rain, looking forward to reading many more of your posts, let me know if there is anything that I can do to help as you get started here.
All the best of success to you.
Bob

Nov 30, 2018 01:35 AM