Best Way to Improve a Credit Score

Your credit score is one of the most important assets in your life and if you do not care for it you will end of paying the price. The best way to improve a credit score is simple and can be done without the help of a paid professional.

Pay All Bills on Time

Making on-time payments on all your bills is essential to improving and maintaining an excellent credit score. Even one past due payment can have a great negative impact on your credit score. If you are in a situation where you cannot pay contact the creditor and make a payment arrangement so they do not report a delinquent payment to the credit bureaus.

Dispute Inaccurate Information

Any information that you find on your credit reports that is not accurate can be disputed and removed. Inaccurate information can include a misspelled name, an incorrect amount due, an incorrect date or any missing information on that specific debt. You will need to dispute these items with each of the credit bureaus: Experian, Equifax, and Transunion. This is easily the fastest way to improve your credit score.

Keep Credit Card Balances Low

Maintaining high credit card balances has a high negative impact on your credit scores. Keeping your revolving credit balances below 30% is key to an excellent credit rating. If possible pay more than the monthly minimum payment to pay these accounts down as quickly as possible. This will also save you from paying a lot of interest.

Keep New Credit Inquiries to a Minimum

Although new credit inquiries do not have a high impact on your credit, it can have a negative impact on if you apply for a lot of new credit accounts. For example, applying for multiple new credit cards appears as if you are desperate for credit and gives the impression that you are irresponsible when it comes to credit.

If you have any questions please feel free to email me at shwana@yourcreditrestoredfast.com or comment below.

2 thoughts to “Best Way to Improve a Credit Score”

  1. I have heard that paying your bills late can hurt your score but how much? Can I ever recover from a late payment? You have laid out the key points and made it seem simple, but can you clarify a little more on how to dispute negative items on my credit report? Thanks!

    1. Thank you for your feedback Armond! Paying your bills late can hurt your score a great deal so if possible pay all your bills on time. If that is not possible call the creditor and see if there are arrangement that can be made so that they do not report the overdue payment to the credit bureau. Most creditors do not report past due payments to the credit bureaus until the payment is at least 30 days past due.

      In answer to your second question, yes, your credit score can recover from a delinquent payment but it takes time. You can try to contact the creditor and see if they will remove the past due payment as a courtesy. Sometimes this is referred to as a goodwill gesture on behalf of the creditor. It is more effective if this is done by mail.

      To dispute a negative item on your credit report you need to go to each one of the credit bureaus websites they are: Experian, Equifax and Transunion. You will need to pull up the item you want to dispute and below it there should be a dispute tab that you can click on. This will take you to another page that you must complete for the bureau telling them why you are disputing it. The website will walk you through it. Good luck and if you have any more questions don’t hesitate to ask.

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