Easily Raise Your Credit Score
Your credit score is also frequently called a FICO score. The score tells lenders what type of borrower you are. If you have a high score, it says that you pay your debts on-time and as promised. A low score says that you are at risk for not paying your debts. FICO scores range between 300 and 850.
Credit scores reportedly focus on the last two-years of your credit report. They will consider all of your information, but the main focus is on the most recent. This gives you the ability to increase your score fairly quickly. Yes, it still can take up to a year to see great results, but they are well worth it.
Your credit score is based upon:
Payment History -- 35% Availability of credit and usage -- 30% Duration of open accounts with creditors -- 15% Credit inquiries -- 10% Composition of your credit file (the type of debts you have) -- 10%The good news is that while it takes some time, the steps to improve your credit score are quite simple.
Start will getting a copy of your credit score from each of the three main credit bureaus: Experian, Equifax and TransUnion. Review each report for inaccurate information. Most people will find a mistake on their report at least once in their lifetimes. These mistakes can lower your score and cost you a lot of money in interest, so it is important to make sure your report is accurate.
Once your report is accurate, start paying your bills on time each month. This is the main thing that will raise your score. Late payments will lower your score faster than anything else. You have to pay on time, every time.
Take steps to lower your debt as much as possible. You want to have at least 50% of your credit unused. That means if your have a limit of $20,000 on your credit cards, you don't want any more than $10,000 charged on them. In fact, lower that as much as you can. The less you owe, the higher your score.
Pay on time and pay off as much as possible. These two methods will help you raise your score easily. Not only will it increase your score, but it will save you lots of money. You won't have late fees to pay, you will have fewer bills to pay towards debt and you will get better interest rates from lenders. There are many advantages to having good credit, and anyone can have good credit. It just takes a little work and a little time.
Related Tags: credit score
Martin Lukac http://www.MartinLukac.com, represents http://www.RateEmpire.com, an Internet consumer banking marketplace. RateEmpire.com is a destination site of personal finance, investing, taxes and mortgage rates. RateEmpire.com provides mortgage guides and financial rates and information. RateEmpire.com also operates a financial portal #1 American Financial, found at http://www.1AmericanFinancial.com Your Article Search Directory : Find in Articles
Recent articles in this category:
- What's In Your Credit Report?
IdentificationYour name, address, social security number, birthdate and previous and current employm - Pros And Cons Of Low Purchase Rate Credit Cards
Low interest credit cards are outstanding until the time period runs out. Most of these offers promo - Bad Credit Loan Scams
There are several bad credit loan scams out there. These are usually aimed at those that don't have - Successful Credit Repair Methods
If you bad credit, you are not alone. Fact of the matter is there are tens of thousands in the count - Auto Loans Bad Credit: Bad Credit Is Not An Obstacle Now
Now a days, people want their own Cars. Though there are Public Transport Systems, they do not watch - Credit Card Services For Your Business
Co Branded Credit cards can be very beneficial for you if you have a business. These cards are onlin - Will The Actual Natural Motion Endure Large Food? -- Horizon Milk
The natural food business may be going through major work day in energy in the past 10 years. Becaus - Prices Of Dlp Lamp Alternative Parts - Dlp Bulbs
Since you will have to purchase a DLP> lamp each and every few years, it might be useful to know the - Dlp Bulbs -- Facts About Dlp Lamp Replacement
With regards to technical breakthroughs there aren't many things that are more popular than tvs and - Ways Which Anybody May Restore Their Very Own Credit Rating Easily - Credit Repair For Dummies
If you listen to a lot of the actual ads which are available regarding credit>, more than likely you
Most viewed articles in this category:
- Credit - Repair
To make the life more comfortable people purchase lots of things from clothing to cars and homes tha - Helpful Tips For Using Low Interest Rate Credit Cards
People with good credit ratings often receive offers for low interest rate credit cards. A credit ca - Benefits to Businesses Accepting Credit Cards
Many business owners report a sharp increase in profit when they begin accepting credit cards as a m - How To Remove A Bankruptcy From Your Credit Report
Credit report repair can be a long, tedious process and one of the hardest items to get removed is a - Putting Low Interest Rate Credit Cards To Work
If you have a solid credit rating, then you may receive offers for low interest rate credit cards. Y - Buying A Car With A Personal Contract Purchase Loan
If you are looking to buy a car but are unsure whether or not a new car is worthwhile, then you shou - Credit Repair - Tips And Tricks That Work
When you apply for credit, your lender will request a credit report from a credit reporting agency. - Bad Credit Debt Consolidation
No doubt there are numerous bad credit personal loans but hunting for a secured loan for bad credit - Before You Buy
Check out the market in the area you want to buy. Find out what price houses are going for and - Top 10 Keys To Creating A Good Credit Score
We know it can be unfair but credit is used for everything these days. Utility companies are even us