If one of your goals for 2018 is to raise your credit score, it’s important to form a plan so you can effectively see your numbers rise while also avoid the common traps that most consumers fall into when trying to work on their credit score. Read on to learn the best four ways to start 2018 off with a better credit score!
- Control your spending. The best way to a positive build credit history in Philadelphia is to avoid using your credit cards as much as possible. Your credit score is calculated using a percentage; credit card holders who use less than 10% of their total available credit are seen as the most reliable borrowers. To most effectively build credit, try to put as little on your credit cards as possible.
- Set up auto-pay. The biggest contributing factor to your credit score is your payment history; in fact, payment history makes up a whopping 35% of your score! If you tend to forget when bills are due, you should enable auto-pay for your credit card bill so you’ll never have to deal with late fees or a lower score.
- Set up a budget. If outstanding debt is contributing to your low credit score, setting up a budget that prioritizes paying it off as fast as possible is one of the quickest ways to improve your score. If possible, try to make more than the minimum monthly payments on your accounts.
- Skip the store cards. Many stores offer their credit cards and tempt customers with in-store discounts to sign up. However, these cards typically carry sky-high interest rates- sometimes as high as 35%. Save yourself a headache and skip the store credit cards to save money and your credit score.
A low credit score can seriously impact your life. Credit repair companies in Bucks County can help you formulate a plan to improve your credit and your family’s quality of life in 2018. If you’re looking to work towards a better credit score, don’t be afraid to give Quality Credit Repair a call today.