How to Raise a Credit Score Instantly

A good credit score determines many factors in our lives. Credit scores are increasingly being used to evaluate consumers in more ways then just qualification for loans. Life and auto insurance companies are using credit scores to determine policy rates. Credit scores determine loan interest rates. Employers are using credit scores as a factor of employment. Raising credit scores is, generally, a process that takes several months; but there is one method that can boost credit scores instantly. The method is reducing your credit utilization to under 30 percent of your credit limits.

Instructions

1

Review your credit report and note the date your creditor reports the account to the credit bureaus. If your credit report only shows the month and year, contact the creditor and ask what day of the month the creditor reports the account to the credit bureaus.

2

Make note of each credit card limit and the balance on each account. Determine the dollar amount that represents 30 percent of each credit card limit. If you have a Visa card with a $900 credit limit, 30 percent of $900 is $270. According to ComeBackCredit.com, keeping your balances under 30 percent of the credit limit offers the maximum benefit to your credit score.

3

Make a payment to the creditor two to three days before the date the account is reported to the credit bureau. Your payment should bring the total balance on the account less than 30 percent of your credit limit.

4

Re-order your credit report after the creditor reports the new balance. Verify that the new balance is being reported and take note of how much your credit score increased.