Are you planning to buy a property or need a loan but your credit score is not that good? Let me tell you this, you are not alone. According to FICO, 11% of US consumers have low credit scores. There is hope! There are ways that can improve your credit score, however, it takes take time and patience. Let me tell you, it’s all worth it.
Having a good credit score has it perks. For example, you can easily qualify for credit cards and loans. Plus the interest rates are more affordable. If you have had some credit hiccups in the past all is not lost.
Here are fantastic ways to improve your credit score:
- Check your current credit score especially the ones from Equifax, TransUnion and Experian
- Keep your payments up to day and stay on top of it at all times
- Minimize credit utilization
- Check for score-boosting programs and take advantage of it.
- Avoid applying for new accounts often
- Refrain from maximizing your credit limits
- Ask a friend or a relative to add you on their existing credit card as a authorized user; this might help lengthen your credit history and can improve your credit score.
Remember any late payments can greatly affect your credit score and lenders often check your credit usage so they know the risk when they lend you some money. The rule of thumb is you do not want to use more than 30% of your available credit. If you are above that amount, make a plan to start paying down some of your debt.
How Long Does It Take to Rebuild a Credit Score?
Working on improving your credit score can take time and energy; it is not an overnight thing. You have to be patient and have a strategy that will yield you your desired results and that is an increase in your credit score. How long it takes to rebuild your credit history after a negative change depends on the reason behind the change. For example, delinquencies remain on your account for up to 7 years. Bankruptcies for 10 years. Although there is no overnight fix to credit, there is hope. If you start to implement some of the tips we outlined above and work with a credit repair specialist. you ca be back on the road to financial freedom in no time.
Need help? We are happy to assist! Feel free to call us at 954-686-7182. Our dedicated professionals are waiting.