Despite what you may have heard on late night television commercials, there aren’t a lot of fast and legitimate ways to fix a bad credit score. Some companies will try to get old derogatory remarks removed by focusing on creditors that are known to not respond, while others will employ a letter-writing campaign to have negative comments changed or removed.
If you would like to take a more honest approach to improving your credit, try these 5 easy ways to boost your credit score.
1. Request a credit line increase
Asking for a credit line increase and getting it will change your ratio of credit to debt. The more credit you have available, the higher your credit score will be. Calling for a credit increase only takes a few moments and you can do it with each of your cards for fast results in as little as a couple of months.
2. Pay off debt
If you had the means to pay off your debt, you probably wouldn’t have bad credit in the first place. However, if your situation has changed, you may be able to change your budget around to allow for bigger debt payments. Reducing your debt will increase your credit to debt ratio and thus increase your credit score.
3. Charge less to credit cards
Again, the part of your credit score that you can control is your credit to debt ratio. Charging less equals less debt and a better ratio. Use cash, bank cards and other means of payment rather than charging, but don’t stop using your cards all together. Small purchases that can be paid in full each month are the best way to go. You’ll wind up with a positive credit history of payments being made in full and you won’t be adding to your debt load.
4. Consolidate your debt
This is a smart move for people with multiple credit cards from one issuer. If you can consolidate your debt without reducing your credit limit, you can actually create a situation where your average age of your credit lines is increased, which will boost your credit score.
5. Review your credit report for errors
Errors and omissions can have big impacts on your overall credit score. You can request a free credit report each year from the 3 major bureaus, which you can then review for any inconsistencies. If you find an error or omission, have it corrected right away.
These five easy tips can help you repair your credit score so you can get better rates on loans, lines of credit and other financial products. These techniques are legal, ethical and require no special representatives or agencies to accomplish.