5 Steps To Take To Improve Your Credit Score

Improve Your Credit ScoreIf your credit score is bad, you will know the impact that it can have on your life. You may not spend an awful lot of time thinking about your credit score but when you try to do something that revolves around credit, you will soon find out how important your credit score can be.

This is why you need to be making moves to strengthen and improve your credit score. There is no point in pleading ignorance when it comes to your credit score, failing to improve it will cause you problems in the short and long term so it makes sense to take action.

Thankfully, there are steps you can take to improve your credit score, including:

  • Being registered to vote at your home address
  • Paying off and destroying old credit cards
  • Report any ex-partners that may be on your record
  • Make sure that any applications you make are 100% accurate
  • Pay your bills on time

These are all hugely important steps in improving your credit score. It is important to be patient when improving your credit score, there is no overnight fix or solution but you can take action on these steps at the same time, which is likely to improve your ability to impact on your credit rating.

Being registered to vote at your home address

This may not seem too important but it shows a sense of stability and that companies know where to find you. This means that the simple step of ensuring that you are registered to vote at your current address, which should be the address associated with your credit cards and loan agreements, will put you in a more positive light. No matter what your opinions are about the electoral process and whether you intend to vote or not, it makes sense to be registered.

Paying off and destroying old credit cards

The more credit cards you have, the more likely it will be that you will get into debt. This is the opinion of lenders so when you have a number of credit cards on your file, they will understandably have concerns about how your debt may move in the future. If you have credit cards that are paid off, take the next step in cancelling and destroying them. This will reduce the number of credit cards listed on your credit rating, which can only be of benefit to you.

Report any ex-partners that may be on your record

If you shared finance arrangements with an ex-partner but you are no longer with them and no longer share financial responsibilities, make sure that your ex-partner is no longer referenced. It may be that decisions they are making are impacting on your record, and if there is no longer a link, you need to have this removed as quickly and as effectively as you can.

Make sure that any applications you make are 100% accurate

You may think that it is okay to be economical with the truth when it comes to your finances and when applying for credit, but it really isn’t the case. In fact, it can be construed as fraudulent, so always be sure to apply with the correct information when you apply for credit.

Pay your bills on time

Another great way to develop your financial reputation is to ensure that your bills are paid on time. This will show that you are responsible. A good way to obtain the finance you need in the present day, while showing that you are responsible, is to take out a guarantor loan.

One of the best things about a guarantor loan is that you don’t need to have a good credit score to obtain finance. In fact, your credit history and rating doesn’t have an impact on the decision to lend to you. This means that with a guarantor loan, you can take out finance at an affordable APR and work towards making payments in full and on time every month.

This will provide you with the chance to show that you are responsible when it comes to managing your debt. Many people consolidate their loans when it comes managing their debt and utilising a guarantor loan in this way is one of the most effective ways to get the finance you need for the present while still moving forward with your finances.

Andrew Reilly is a freelance writer with a focus on news stories and consumer interest articles. He has been writing professionally for 9 years but has been writing for as long as he can care to remember. When Andrew isn’t sat behind a laptop or researching a story, he will be found watching a gig or a game of football.