Kitchens by Riland

If you know about the FICO rating system, frequent credit checks and their implications, then you probably know about the 720 credit score- and just how good that is. With a credit score that high, you can easily obtain enviable APR rates, whether it’s on a mortgage or a car loan. So how exactly do you raise your score to a range that good? It’s easy if you know how to make all the right moves.

The very first step is to obtain your credit report. With the numerous ways of doing this, it should be no trouble at all. You want to check if there are any discrepancies or errors. You might be surprised to see that your low credit score is because of some information being included in your report, when it’s not supposed to be there in the first place. Late payments and negative increases from 7 years ago should not appear anywhere on your report. Once you have isolated these errors, contact your credit agency via mail, attaching any document that might be of relevance. This is just the very first step.

Next thing you need to do is to ensure that all your financial obligations are attended to. Any bills that are waiting for your clearance should not wait for another month. Delaying these payments only looks bad on your report. That goes for debts as well- postponing them is just increasing the problem and not really getting rid of it. Pay off any delayed payments and as much as possible, try to stay current with your repayments.

If you recently hit rock-bottom with your finance with, say bankruptcy, or your credit score is lingering around the 600 mark, its time you got new credit. This could be a new loan, or a credit card. The goal here is not to increase the much that you have to pay off at the end of the month, but rather, show your renewed responsibility of clearing off payments in time. Your credit score depends on your credit history, and the older it is, the higher the chances of your credit score being good. That means that you should not close any old accounts that you had. Any credit card that been sitting around the house for the last six months should be used.

If you seriously take these steps into account, you could drastically watch your credit score improve, and go over the 720 mark!