Good FICO Credit Score - Tips of Improving Your Credit Score
A good FICO credit score would work wonders for you especially when you need to obtain credit for purposes such as buying a home, purchasing a car, obtaining insurance policies as well as other similar purposes.
Relatively speaking, scores of 700 and above are favorable, and if you have figure below 700, expect to encounter some complication when you apply for loans or policies.
Lenders and creditors would look at your scores first before approving any loan application, thus it is imperative that you keep your credit score as well as credit report in excellent shape to avoid facing difficulties in obtaining loans.
Your credit score is based on five criteria that are total amount owed, your overall payment history, the duration of your credit history, type of credit currently being used as well as new credit.
Let us look at some tips and pointers for you to improve your credit scores in order to reach or exceed the magical mark of 700: 1) Always keep the amount of credit you have in control, and do not get entangled in too much debt.
Always try to clear your debts as fast as you can, and apply for credit only if you have an important need for it.
Do not own more credit cards than you actually need, and do not keep the balances of these cards too close to their limits or you could be facing low credit score issues.
2) Keep good old accounts open, as they display a good history of your payments over log durations of time.
Creditors and lenders would react positively to this information, and it could help you obtain credit easier.
The longer the account, the better it is for you, provided that you have maintained the account well.
3) Do not make late payments or miss payments altogether, this is the single most damaging feature in your credit report.
Even if you do miss your payment, do not exceed the 90-day limit, as it could prove as damaging as applying for bankruptcy! Always make payments on time, and your scores would improve steadily as the days go by.
And do not forget that these negative marks would be in your report for seven years! The tips above should hold you in good stead in your mission to improve and achieve a good credit score, thus make sure that you follow them! Good luck in improving your scores!
Relatively speaking, scores of 700 and above are favorable, and if you have figure below 700, expect to encounter some complication when you apply for loans or policies.
Lenders and creditors would look at your scores first before approving any loan application, thus it is imperative that you keep your credit score as well as credit report in excellent shape to avoid facing difficulties in obtaining loans.
Your credit score is based on five criteria that are total amount owed, your overall payment history, the duration of your credit history, type of credit currently being used as well as new credit.
Let us look at some tips and pointers for you to improve your credit scores in order to reach or exceed the magical mark of 700: 1) Always keep the amount of credit you have in control, and do not get entangled in too much debt.
Always try to clear your debts as fast as you can, and apply for credit only if you have an important need for it.
Do not own more credit cards than you actually need, and do not keep the balances of these cards too close to their limits or you could be facing low credit score issues.
2) Keep good old accounts open, as they display a good history of your payments over log durations of time.
Creditors and lenders would react positively to this information, and it could help you obtain credit easier.
The longer the account, the better it is for you, provided that you have maintained the account well.
3) Do not make late payments or miss payments altogether, this is the single most damaging feature in your credit report.
Even if you do miss your payment, do not exceed the 90-day limit, as it could prove as damaging as applying for bankruptcy! Always make payments on time, and your scores would improve steadily as the days go by.
And do not forget that these negative marks would be in your report for seven years! The tips above should hold you in good stead in your mission to improve and achieve a good credit score, thus make sure that you follow them! Good luck in improving your scores!
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