A good credit score can mean the difference between getting a loan with a low interest rate, getting a loan with a high interest rate, or not getting a loan at all. Review your credit score each year and take the necessary steps to make improvements.
Verify Your Credit Report Information is Correct: Everyone is entitled to a FREE copy of their credit report each year from each of the three major credit-reporting agencies. Request yours individually from each agency or request all three from http://www.annualcreditreport.com/, the only official site to help consumers to obtain their free credit report online. Once you receive your reports, make sure all the information is accurate and make corrections where needed.
Pay Your Bills on Time: This is the single most important thing you can do to establish, maintain, or improve your credit score. Set up whatever system works for you—electronically or manually—and follow it faithfully. Confirm due dates, time of day postings, and weekend and holiday policies for each creditor before setting up.
Know What Goes Into Your Score: Too much available credit—not enough available credit. All installment loans. All revolving loans. A good credit score is a combination of timely, payment, outstanding debt, length of history, recent applications, and types of accounts. Make sure your history is balanced.
Make the Effort to Correct Mistakes: Visit www.FTC.gov for all the legal tips and steps to tale to correct the errors on your report. You have rights so use them.
Beware of Repair Scams: There are lots of people and “companies” that will offer to repair your credit for a fee. Many will often promise a clean report or instant results. The truth is, anyone can repair their own credit for FREE and the results, although potentially fast, usually take a while to make an impact.
Your financial advisors at Consumers Credit Union are here to help keep your credit score strong. Give us a call at 800.991.2221 or visit one of our convenient locations for assistance.
Source: PSB, our trusted partner