How to Keep Your Credit Score 700 & Above

The Fair Isaac Corporation devised a rating system that most lenders use to determine your credit worthiness. Your FICO score, as the rating is known, ranges from 300 to 850 points. The higher your points, the more willing institutions are to extend you a credit line. Besides, when your credit score is above 700, you receive lower interest rates on loans, pay lower utility deposits and are more likely to get approved for apartment rentals, for example. Your financial records---balances owed, payment promptness, length of credit history---determine your score.

Instructions

1

Use a credit card, but keep the balance well below the credit line and pay at least the minimum by the due date. You raise your credit scores by showing you can use and pay a credit card. A major card---MasterCard, Visa, American Express and Discover---has more weight on your credit score than a retail card accepted only at one store chain.

2

Pay the credit card balance in full every month. In addition to raising your credit score, you will save on interest charges. If you can't pay your balance in full, pay the maximum you can afford. Within one month of making a large payment on a credit card, you will see points added to your credit score.

3

Contact credit bureaus to correct errors in your credit reports. Order the free annual copy you are entitled to from the link listed in Resources. Read the information, looking for discrepancies concerning late payments, bankruptcies, account numbers and names. Verify that information older than seven years about delinquent accounts and older than 10 years on bankruptcies is no longer listed on the reports.

4

Pay the bill even if you disagree with it to keep it from going to collections. File a complaint with consumer resources such as the Better Business Bureau or a suit in small claims court to have the bill charge dropped and a refund issued.

5

Keep a credit card account open while you are still paying off debt, even if the balance you owe is on another card. Closing the account reduces your total credit line, which brings your amount of debt closer to the credit limit you have available. The closer you are to that limit, the lower your score.

6

Search for a lender that is a customer of a rapid rescoring service. In general, it takes credit bureaus at least 30 days to update your credit report information. A rapid rescoring service adds points, if they are legitimate, to your credit history within 72 hours. The company charges you a fee for every account in your credit report that it has to update quickly. The service processes your requests based on information you prove to be incorrect in the current credit report. It also gives you new points shortly after you make payments.