How to Boost your Credit Score in 6 Months or Less!

Credit and credit score. How many of you have ever wondered what and WHY do I need a good score. Unfortunately, your credit score is a MAJOR part of your financial life. Whether you want to believe it or not, you need to have good credit, and that sometimes means having a credit card and some of the debt that goes along with it.

Young couple looking at bills

If your credit score is less than ideal, it could very well make that car loan or mortgage impossible. Boosting your credit score is important, especially if you intend to make a major purchase in the near future. The higher your credit score, the better loan you will be able to obtain and the lower your interest rate.

Having Too Many Credit Cards-Is This Really a Thing?

If you are considering making a major purchase in the near future or are simply interested in cleaning up your credit scores, it is very important to take a good, long, and hard look at your credit report. You are entitled to one free report per year.

credit card overload

Now, this next piece of advice is debatable to me. Supposedly if you have too many credit cards open that you do not use, you should close them. It does not look good on a credit report to have too many credit cards open and not used. However, if you have too many credit cards with balances on them, that doesn’t look good either. Also, every time you open a new credit card application, it appears as a hit on your credit report and can actually lower your score. Yes, applying for credit can lower your score, but usually only by a few points.

If you decide to close your unused accounts, make sure that you do not let them entice you into keeping that card for any reason. Stay strong y’all!!

Take a Good Look at Your Credit Report

It is in your best interest to set aside some time and go over your credit report with a fine toothcomb. There may be one, two, or more mistakes against you on that report. Look over your report and call the credit-reporting agency to make any and all corrections necessary on your behalf. It will take a few weeks, but in the long run, it’s worth it.

Revolving Credit

Having revolving credit is a good thing if it is in small increments. If you can show that you have credit card debt but pay it off every month, then you will be in good shape. Having too many cards and only paying small amounts on each is a negative strike.

Look into obtaining a new credit card with a really low or no rate and balance transfer all those other smaller credit card amounts onto that one new credit card. Then go ahead and close all the other credit card accounts completely. This shows savvy and smart financial planning on your part. Then pay it off!!!

By utilizing these simple tips, you can clean up your credit report in no time at all.

Good Luck!