Tips on how to repair my credit score?

If you’re in the process of making a large purchase, like a home or a car, you may want to think about your credit score. If the number is a little lower than where you’d like it to be, here are a few ways to give it a quick boost.

First, pull up your credit report and take a trip through the entire sheet. Check for inconsistencies on payment history, balances, and open accounts. If there is an error, report to the proper company so that the change can take place. The next best thing to do is pay down your balances.

Creditors look at the ratio between available credit and used credit and any low balances will help list your score. A better-late-than-never option is making your payments on time. Even if you’ve made late payments in the past, take the opportunity to send every payment immediately.

This shows the creditor that you’re currently paying all debts consistently and you won’t be an unstable purchaser.

In addition to things that you should do to help your credit score, there are a few things that definitely won’t help. If you’re in a situation that requires an upcoming credit boost, do not cancel a card. Doing so will lower your credit-utilization ratio and inevitably lower your credit score.

Related to this, try not to put all of your credit card balances in one place. Having 20% of your debt on several cards is more beneficial to your credit score than 100% of your debt being on one card. The process of improving your credit score in the long run will take longer than 24 hours, but small steps will get it moving in the right direction.