Once your credit and score have plummeted, it takes consistent work and effort to rebuild good credit. Considering credit scores are used for so many things, including many job applications, utilizing methods to improve your credit rapidly are essential.
Decrease Your Debt Amount
The quickest way to boost your credit is to decrease the amount of money you owe to lenders. This includes mortgages, car loans and especially credit card debt. If you are able to pay down your balances, or pay all of at least one card off, your credit score should improve in as little as two months.
Correct Errors
Many credit reports contain errors. Sometimes, you will spot a late payment from years ago that you do not recall. It is the responsibility of the lender to prove, within 30 days, that you did indeed default on this payment. If they can't prove it, the late payment is removed from your credit report, improving your credit score immediately.
Secured Credit Cards
Apply for a secured credit card for the sole purpose of rebuilding your credit card. Secured credit cards need a deposit, and your account limit is the amount of deposit. Use the card and make payments each month, on time, or in full. Good payment history will improve your credit score within six months.
Gas Card
Banks tend to be more lenient about extending credit cards to solely be used as gas stations. Apply for a gas card and pay religiously. The banks will report on-time payments to the credit bureaus and your credit score should show improvement in minimal time.
The Obvious
No matter which method you use, not increasing your balance owed and making on-time payments is vital to improving your credit score rapidly. Each report on your credit has a predetermined amount of time it can remain on your report; if it's still present after this length of time, contact the credit bureau or reporting agency to have it removed permanently. Once removed, your credit score will improve instantly.
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