Are you one of the millions that need to raise their credit score?
Many people believe that if they have a low credit score they are doomed. They think there isn’t much they can do in order to raise that score. But that is simply not true! There are actually quite a few things you can do in order to start raising that score.
The good news is that you don’t have to do all of them either. You can do a couple of these actions, and it will still help to raise your credit score.
Here are five effective ways to raise your credit score:
1. Verify and Dispute
Each year millions of people find that there are errors on their credit report. Problem is, these errors will most likely lower your credit score. This makes it important that you verify your credit report and dispute anything that is not accurate. To dispute information, you simply need to write the reporting agency a letter with your personal information, stating what you believe is an error. They will investigate and take action accordingly.
2. Get Serious About Paying Bills
One of the biggest reasons people end up with a poor credit score is because they don’t get their bills paid on time. Each time you are late making a payment it counts against you. Therefore, it is important to get on a monthly budget and pay all bills on time.
3. Apply for Credit Cards Sparingly
Applying for too much credit can bring your credit score down, so you want to avoid making a habit of applying for it. Also, having too much or too little credit can hurt. If you have credit cards, hold off on trying to get more. If you don’t, apply for one. If you can’t get an unsecured one, get a secured one in order to start building credit.
4. Consider Debt Consolidation
Many people find that it is easier to pay on one bill each month, rather than trying to make multiple payments. If this fits your style better, you may want to consider debt consolidation, which would give you one monthly bill to pay, making it easier to get payments in on time.
5. Get Credit Counseling
Credit counseling can help you get things into perspective and get a handle on your debt. From there, you should be able to get on the right track and ultimately raise your credit score. Not all counseling is equal and some could be scams. The National Foundation for Credit Counseling is a good place to start.
Each of these offers an easy step to raising your credit score. Get started with one of them today, and within months your score will begin to head in the right direction.