How To Improve Your Credit Score Quickly
May 19, 2022 | Emma Frost
It will take time to improve your credit score, but there are some things that you can do to speed the process up. Keeping an eye on your credit report, paying off your debts, maintaining a low balance, and being careful about opening new credit lines will help.
These are the best strategies for how to improve your credit score as quickly as possible.
Ways To Improve Your Credit Score
Keep An Eye On Your Credit Report
You can get a free credit report every year from each of the three major credit reporting bureaus, Equifax, Experian, and TransUnion. Keep an eye out for any mistakes and discrepancies that could be lowering your score.
If there are errors on your credit report, you can easily dispute them with the credit reporting bureau. If there are no errors in the report, you will be able to see what is bringing your credit score down and how you can work to fix it.
Pay Any Accounts Sent To Collection
Having an account get sent to collections is one of the most damaging things that can hurt your credit score. If you want to know how to improve your credit score, the first thing you should do is pay off any accounts that are in collection.
Keep in mind that even once you have paid off your accounts that are in collection, this will still stay on your credit report for seven years.
Keep Your Credit Card Balance Low
Another critical part of how to improve your credit score is to keep your credit card balances low. It is a good idea to keep your credit card balance below ten percent of the credit limit.
This keeps the balance manageable and allows you to raise your credit score. If you maintain a balance that is close to or at the maximum credit limit, that will severely hurt your credit score.
Avoid Closing Old Credit Cards
Closing old credit cards will actually hurt your credit score. This lowers the amount of credit that you have available and negatively impacts your score. Having a long credit history is one of the main factors in your credit score, and closing your accounts hurts that history.
If you want to know how to improve your credit score, you should avoid closing your old credit cards.
Have A Mixture Of Several Types Of Credit
When you are learning how to improve your credit score, you should maintain a few different kinds of credit. Your credit score will improve if you have a mixture of credit cards, mortgages, and loans. Having too many different lines of credit open will hurt your credit score, but it is a good idea to have at least a few different kinds open.
If you are wondering how to improve your credit score, the most important thing is to be patient. There are things that you can do to boost your score more quickly, but it will take time.
Unfortunately, it is much easier to damage your credit score than it is to improve it. Mistakes like an account in collections or bankruptcy will stay on your credit report for seven years. The negative impact that comes from missing rent or utility bill payments will be stronger than the positive impact that comes from making those payments on time.
Search For A New Credit Card Over A Short Time Period
When you are shopping for a new credit card, the lender will pull your credit report to see if you qualify. Having too many credit inquiries over a long period of time will hurt your credit score.
However, if you clump all of these inquiries over just a couple of days, FICO will understand that you are simply comparing rates rather than attempting to open several new lines of credit at once.
Getting Help With Nevada Title And Payday Loans, Inc.
It can be stressful to manage your finances while you are trying to improve your credit score. You need to have a plan in place for what you will do if you are faced with a sudden short-term cash flow situation.
If you need fast cash to tide you over between paychecks, one option that you can consider is applying for help in the form of a payday loan.
How do you start applying for a payday loan? You can call your local Nevada Title and Payday Loans, Inc. location or you can fill out the easy online inquiry form to get started. These are the things you will need to bring with you:
- Your driver’s license or another valid form of government-issued photo ID
- Your most recent paystub, to prove your income level and ability to repay the loan
- A blank check from an active checking account that is open in your name
These are the best things to keep in mind in terms of how to improve your credit score as fast as you can.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.