There is one person who can raise your credit score, and that person is you. You may hear companies promising in radio or TV commercials that they can boost your credit scores, but don't believe their hype. Only by changing your own spending and money-managing habits can you raise your credit scores.
Put Your Credit Report Under a Microscope
Lenders generally consider anything over 720 a good credit score. If your score is below that, order copies of your credit reports from the big three credit-reporting bureaus: Experian, TransUnion and Equifax. Study the reports carefully for any errors. If you find open credit card accounts that you closed years ago, missed payments that you think were incorrectly reported or any other inconsistencies, report them in writing to the bureaus. Fixing these errors can improve your credit score.
Pay Your Bills on Time
If you've had a history of missing your credit-card or other bills, your credit score will suffer. If you want to boost your score, immediately begin paying these bills on time. Gradually, your score will improve.
Keep Your Debt Levels Low
Your credit score will suffer if your debt levels are too high. By paying down your debt, you'll increase your score.
Don't Have Too Many Open Credit-Card Accounts
Don't keep too many open credit-card accounts. This will negatively impact your credit score. Lenders will see multiple credit-card accounts as an opportunity for you to run up too much future debt.
It Takes Time
Unfortunately, many companies promise that they can help you improve your credit scores, but only by changing your financial habits can you do this. It takes time to raise a low credit score. If you need good credit to buy a home or a car, you may have to wait a year or more until you've taken the financial steps to improve your score.
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