Buying a House? How to Improve Your Credit Score FAST
Improving your credit score is something that everyone will stress out about at least once in their life. This usually comes from wanting to get a house or apartment and avoiding having to pay high-interest rates or getting stuck with a subpar home.
If you’re ready to get things moving, these are the best ways to get your credit score to skyrocket in no time.
Pay The Overdue Debts
You don’t have to pay off your debts entirely; closing too many of your accounts could end up hurting your score, but you should pay whatever overdue amounts there are. For instance, if your credit card had a $500 limit, and you went over that once and now owe $535, it’s important that you pay so that it’s at least under the $500 limit again. Paying the overdue amount allows you to move back to making your monthly payments on time, so you don’t have to stress about it still hurting your credit.
Make Payments On Time
Making your payments on time is vital to ensure your credit score is repaired. Try to pay a little more than your due amount, but don’t bother trying to pay more than you can afford any month. Although getting your credit utilization down to a comfortable amount is useful, if you can’t make other payments because you put too much into your card, you’re going to hurt your score further.
Avoid Opening More Than One New Account Every Year
If you don’t have more than one credit account open, it’s a good idea to open one other: but avoid adding more than that. Although having three to five accounts is the best option for everyone, it’s not always feasible to open many at one time. Not only does it drastically lower your credit age, but it can also harm your score because of the hard credit inquiries and making too many applications for new credit accounts in a short period of time. It’s better to avoid this when possible.
Pay Attention to Your Credit Limits
Like you’d use a house payment calculator, you should calculate what 30% of your credit limit is and avoid ever spending over that amount. The closer to this number you stay, the more trustworthy your credit behavior will seem.
Get Added as an Authorized User
One of the best ways to quickly boost your credit score without having to wait is to get added as an authorized user on another person’s card or account. You don’t have to have access to the money or the account itself, but having your name added on allows your credit to reap the rewards of how old the account is, how good their payment history is, and how large their credit limit is. This can boost your score by hundreds of points depending on how low you start out.
You Can Make Fix Your Credit Score In No Time
Even if your credit score is in the low 500s, by making changes, you can quickly boost your score and get things turned around. Make sure you pay attention to your credit limits and hit those due dates on time to keep the growth going