Are you having difficulty not knowing how to improve credit scores?
A poor credit score can deny you of taking any loans, credit cards, and most forms of credit. This is why you should take credit repair seriously, and you need to start now.
Here are seven tips and ways to improve credit. Use them to repair your credit score and redeem yourself from having bad credit.
1. Analyze Your Credit Reports
By law, you can get free credit reports from three credit bureaus every year. You can order your credit report through AnnualCreditReport.com by phone or mail. Take your time reviewing your credit report since it may be several pages long.
Make sure to check for any incorrect information like accounts that aren’t yours. Take a look at past due accounts and maxed-out accounts that are over their credit limit.
2. Dispute Credit Report Errors
If you see your credit reports’ mistakes, you should copy your report and highlight the mistakes. You have the right to dispute inaccurate and incomplete errors. Make sure you have enough proof that can back you up.
Explain the mistakes in your credit report and send the dispute either online or through certified mail. The bureau may take 30 to 40 days to review and respond to your dispute. If the dispute is successful, the bureau will make a change and send an updated credit report.
3. Pay All Your Bills On Time
A good way to raise credit score is to start paying your bills on time. Unpaid and late bills, even if it’s only a few days late, can negatively impact your credit score. It’s important to be consistent in paying your bills since they make 35% of your credit score total.
4. Avoid Applying for a New Credit
Every time you apply for new credit, it gets listed as a “hard inquiry” in your credit report. After a few years, your credit score will start to suffer. You may start at the below-average credit score, and it will affect your goal of watching it rise.
5. Increase Your Credit Limit
Carrying more than 50% of your credit can hurt your credit score. Two ways to improve credit is by paying down your balances and increasing your credit limit. To get your credit limits increased, all you have to do is call your card issuer and ask.
6. Address All Accurate Negative Marks
You need to tell your card issuer about any accurate negative remarks and get them removed. Most negative information can stay in your credit report for at least seven years. You can choose to dispute the mistakes or add some more credit to your credit score.
7. Reduce Your Debts
The balance of your debt contributes 30% to your credit score calculation. You should pay off your debts since it can slowly lower your scores. You should develop a payment plan that puts your payment budget towards the highest interest cards first.
Note that it’s easier to do this rather than cleaning up your payment history. Try not to close any of your unused credit cards as a short-term strategy to raise your credit score.
Use These Credit Repair Tips Today
You need not suffer and wallow in having a bad credit score forever. With these credit repair tips, it’s easy for you to build your credit score for the better! Improve your credit score today!
Do you want to learn more about credit scores? Check out more of our blogs to learn all you can learn today!
