Everybody wants to have a good credit score as a good credit score can positively influence your financial health and well being. Your credit score can influence the interest on your mortgage, whether a landlord approves your rental application or not and many more other things. If you are having a credit score that you want to improve, pursue the following 4 easy ways:
1# Get a Credit Card:
Having a credit card has so many benefits but you may not know that it can have a positive influence on your credit score as well if you get a credit card, under-use it and pay your bills on time. It will make you a responsible user of credit. Canceling a credit card can have negative influence on your credit score. So, try not to cancel your cards.
2# Increase Your Credit Limit:
If your financial record is good enough to increase your credit limit, increase it. It will allow you to use less percentage of your credit limit and have positive influence on your credit score. But be careful with it as it might have influence on your spending habit as well.
3# Dispute Errors and Negotiate:
If you are a conscious credit user, you should be able to identify if any error occurs to your credit score calculation. So, dispute errors online through TransUnion, Experian, and Equifax. For unavoidable circumstances, you may have stopped paying your credit card bill. In such cases, it’s a good idea to talk to your creditor, submit an application promising to pay remaining balance of the bill on time. In the process, you can request your creditor to mark your account as “paid as agreed”. If you can convince your creditor and pay the balance on time, you can get rid of a possible bad credit record.
4# Pay Your Bills on Time:
Your payment history including the one you skip or pay late makes up a massive 35 percent of your FICO score. So, not paying bills on time can negatively influence your credit score. If you are absent minded, it’s a good idea to automate your bill payments.
There are some many other ways you can improve your credit score but these 4 are the easiest ones. Make sure you follow them and have a better credit score.