It has been a challenge for a lot of people on how to get good credit rating however, such score ensures you lots of things. As you read this article, there are many different ways on how you could achieve this which is what you will learn in the next lines.
Number 1. Be timely with your bills – actually, your payment history accounts for around 35 percent of your credit score. You really need to be sure that your bills are paid on time to be able to avoid losing valuable points by just checking these figures. If you’ve been sitting on it, then it’s time for you to get up and find ways to settle them all.
Not only that, it’s pertinent to understand that the late accounts for more than 3 months are more likely to attract high negative score. And for this, you may wish to start with the payments that are long overdue and hasten to complete the most recent ones and pay it in full.
Number 2. Commit yourself with credit card – with a couple of active credit cards, it is guaranteed to improve your credit rating. There is no way for your credit score to be low say that you have qualified as being a responsible card holder. What it means to be responsible is that, you’re making payments on time. Say for example that you’re not qualified for traditional credit card, then you might like to try a secured one.
Number 3. Avoid creating plenty of new accounts – the company is going to perform a hard check on your credit status every time that you apply for a new credit card. Opening lots of new accounts also mean that more checks should be performed and if there are many checks to be done, then your credit score will definitely suffer when applying for cards. This is mainly because of the fact that doing such checks on your credit rating are associated with people who are desperate in getting credit and it is wise to minimize them.
Number 4. Limit your rate of utilization – even though it is recommended to apply for a credit card to improve your credit rating and to lower its value, the better the score you will get. It’s fairly easy to calculate the usage. All you need to do is to divide your credit balance into your credit limit and when you get 0 to 20 percent, you’re doing just fine. You may try to limit the expenses you’re making on your credit cards or you can talk to your provider too in order to improve your credit rating.