August 25, 2015

Improve Credit Score – Credit Score Check Points To Boost It High

Many companies advertise their ability to help consumers improve credit score ratings, but fail to actually help people boost scores.  While there are a number of techniques and habits consumers can employ to clean up “less than perfect” credit and raise scores, many credit repair professionals don’t offer this advice for free.  BestCredit.net wants to help clients succeed in improving credit score ratings and creating the best borrowing opportunities available in the lending marketplace.

How To Improve Credit Score Fast

There are a number of things consumers can do to increase credit scores over time.  There are also steps that can be taken to boost bad credit scores almost immediately.  Inaccuracies and discrepancies in consumer credit reports contribute a great deal to lowering a credit score. 

To remove old or erroneous credit report entries to fix credit score numbers you must do the following:

  1. Get Credit Score-Order one credit report from each of the three major credit bureaus, Equifax, TransUnion, and Experian, http://www.usa.gov/topics/money/credit/credit-reports/bureaus-scoring.shtml.
  2. Identify Errors-Highlight any inaccuracies such as accounts listed in your name that don’t belong to you, late payments reported by creditors that were in fact paid on time, and repossessions, foreclosures, or charge-offs that are either not yours, or reported prematurely as such before you made alternate payment agreements with the lender.  Look for any old accounts or information that has reached the statute of limitations for reporting as well.
  3. Dispute Inaccuracies-Contact each of the credit reporting agencies and/or lenders to formally dispute aged or erroneous information.  This can be done in writing, by telephone, or via the Internet in most cases.
  4. Get My Credit Score-Once you have received notification from each of the credit bureaus that inaccurate entries have been corrected, recheck your credit reports to ensure that negative items have in fact, been removed.  (Credit bureaus should supply you with current credit reports free of charge since errors in credit reporting were found.)
  5. Compare Scores-Your credit scores obtained from each of the three credit bureaus should now reflect the new information and be higher than previously reported.
  6. Monitor My Free Credit Score-Continue to monitor your credit reports regularly to ensure your scores are not adversely affected by inaccurate derogatory information.

Bad Credit Score To Best Credit Score-Make It Happen

In addition to successfully boosting credit scores quickly using the credit report dispute process, there are a number of things you can do over time to steadily raise credit scores and improve the ability to borrow greater amounts of money from the best lenders, at low interest rates.

  1. Concentrate your efforts to improve your credit scores in three major areas.  These include, making all payments to creditors and utility companies, ON TIME.  Many utility companies will offer extensions or change your monthly due date to accommodate consumers.  Some creditors will work with you to bring payments current as well.
  2. It is also important to vary the mix of credit you have with lenders.  Credit scoring models take this into consideration when computing credit scores.  A mix of credit includes opening and maintaining loan accounts, revolving bankcard accounts, mortgages, and retail credit cards.
  3. Consumers wishing to raise credit scores should also refrain from using the full amount of credit available from open lines of credit.  Usage ratio is an important factor contributing to the credit scoring process and must be kept low to ensure maximum points towards a good credit score.

Many tools such as an online credit score calculator can be used to help estimate your credit score before ordering your report from the major credit bureaus.  Once credit scores are determined you can take steps to improve your credit profile to secure the best borrowing opportunities available.  Learn more about how credit ratings work and the way they impact lending decisions.