Credit Tips and Advice - How to Raise Credit Score

Many consumers complain that it’s hard to raise your credit score once it’s damaged,  but this idea is far from the truth. It does not matter how bad your credit report was in the past because with the right education, you can improve your three digit number over time.  In this article, I will discuss 5 tips that you can employ to raise your credit score.

1. Know how money works

Learn the in and outs of how money works for you, so that you can be better prepared to pay your bills. You should also read books on money, budgets, and attend seminars. By doing this, you will never miss a payment, therefore increasing your credit score.

2. Staying in financial shape

When applying for loans, a lender will look at your savings, your income and your employment. You want to make sure that you keep a good amount of savings in your account to show the lender that you have the discipline when it comes to handling money. They will also look at your income to see whether you make enough money to keep up with the monthly payments. Finally, they will look at the length of employment to make sure that you are stable. The above factors will help you get a loan, which will help you raise your three digit number in the long run.

3. Late fees removed

If you are late, ask the lender to waive the late fee as a courtesy because most lenders will do that for you if you have not used all of your late waivers for the year. Lending institutions allow either one or two late fee waivers yearly. Then take the money that they were going to charge you and reduce the balances on your credit cards for an increase in your score.

4. Stay organized with your bills 

Get a file cabinet to track your bills and place them in an area where you can get to them quickly. Know the date of your payments and use calendars to remind you of your due dates. Take advantage of automatic payment deduction and electronic email reminders from creditors when offered. When employing these strategies, you never miss a payment, and a result you improve your score. 

5. Set goals

Set goals to track your credit repair efforts. For example, create a tracking list for your credit repair letters. Note whom you send letters out to and when. Set up reminders to check your score regularly to see whether it has improved. Create dates on when you are going to pay off your debt and recheck your score. 

As you can see, the tips disclosed above are simple and straight to the point. Now that you have empowered yourself with new knowledge, go out there, and take action.