Improving your credit score is not as difficult as you may think. First things first – you need to see exactly where you are at with your credit score.
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If you don’t know where you are, you can’t get to where you want to be with improving your credit rating. Once you know your FICO score, you can create a plan to improve your credit score more easily.
#1: Check Your FICO Score with a Tri-Merge Credit Report
Once a year, request a score from the top three bureaus – Experian®, Equifax®, and TransUnion®.
Here’s a brief rundown of FICO Credit Score ranges (estimated – will vary between companies):
|300-550||Poor||May be rejected, or only accepted for very high interest rates|
|551-650||Average||Qualify for high interest rates|
|651-710||Good||Qualify for moderate rates|
|711-750||Very Good||Qualify for very competitive rates|
|751 and up||Excellent||Lowest interest rates|
#2: Pay Your Bills on Time Every Time This is probably the most important thing you can do to improve a credit score. Not doing this severely impacts your credit score. If you haven’t been keeping up with your payments, it’s likely that your credit score has dropped substantially.