Maintaining a good credit score is an essential part of a sound financial position. An excellent credit score allows you to qualify for premium reward credit cards as well as low interest loans. The process of achieving this, however, takes time.
The process of attaining a good credit score is something you have to continuously work towards.
Here are some tips by our credit experts to help you maintain and improve a good credit score:
Don’t use your credit card for day to day expenses
Credit cards are a useful tool to help you manage your income, however, credit card bills can easily add up if you’re not careful. A high credit utilization percentage shows your reliance on credit.
Don’t use your credit card for day to day expenses, instead, use it for one-off large expenses. Make sure you’re not using more than 30% of your credit card each month.
Only apply for loans when you’re confinement about acceptance
The more rejections you receive on a credit application, the worse your credit score is going to be. When you apply for a loan or credit card, lenders contact credit bureaus for your credit report. Multiple inquiries and applications reflect poorly on your financial position. Make sure you apply for loans when you are certain you won’t be rejected. Limit the number of applications you send out as well.
Pay your credit bills on time
No matter what form of credit you have taken on, whether that’s a mortgage, car loan, student loan, or credit card, make sure all the bills are paid in time. Paying credit bills in time shows lenders that you are able to manage your funds and credit well.
Don’t avoid using your credit card
A common misconception among individuals is that if they don’t use their credit card they can maintain a good credit score. They believe that not being reliant on credit reflects well on their financial position. In reality, your credit card can help you improve your credit massively.
Since payment history makes up 35% of your FICO score, it essential that you use your credit card, but make sure all payments are done in time.
Dispute errors in your credit report
Credit reports are prepared by credit bureaus. They generate a large volume of data each day, which can lead to errors in your credit report. These errors can be spotted and rectified by experts which is why it is so important to run your credit report by a credit repair service.
Our experts file disputes for all negative and incorrect items on your credit report that are driving its score down. This results in a better credit score which leads to more beneficial terms for credit applications.
Sign up for our credit analysis by our experts to get more insight on how you can improve your credit score. We also provide credit repair services to dispute incorrect and negative items. Call 1-844-620-8796 for more information about our services.