moonchild
VIP Contributor
Your credit score affects everything from the interest rates you pay on loans and credit cards to whether you can rent an apartment or get a job. so building a good credit score is important to have it under control, there are some easy ways to start building your credit score today. In this post, I'll share with you three simple strategies that you can implement easily to help you build a solid credit score. whether you're just starting out with credit or you're trying to improve your credit score, these tips will help you get on the right track. let's go.
The first golden rule is to make your payments on time, your payment history accounts for 35% of your credit score, making it the most significant factor. that's why you can't afford to make late payment if you are trying to build your credit score. late payments can hurt your credit score and stay on your credit report for up to seven years. to avoid missing payments, you should set up automatic payments or reminders on your phone. If you do miss a payment, try to catch up as soon as possible and continue making on-time payments.
Keep your credit utilization low, this is the amount of credit you're using compared to your credit limit. keeping your credit utilization low will help boost your credit score. you want to keep your credit utilization under 30% overall. For example, if you have a credit limit of $1000, you should try to keep your balance under $300. To keep your credit utilization low, you can pay off your balance in full each month or make multiple payments throughout the month to reduce your balance.
With these two tips you will be able to grow your credit score steadily over time without much hassle.
The first golden rule is to make your payments on time, your payment history accounts for 35% of your credit score, making it the most significant factor. that's why you can't afford to make late payment if you are trying to build your credit score. late payments can hurt your credit score and stay on your credit report for up to seven years. to avoid missing payments, you should set up automatic payments or reminders on your phone. If you do miss a payment, try to catch up as soon as possible and continue making on-time payments.
Keep your credit utilization low, this is the amount of credit you're using compared to your credit limit. keeping your credit utilization low will help boost your credit score. you want to keep your credit utilization under 30% overall. For example, if you have a credit limit of $1000, you should try to keep your balance under $300. To keep your credit utilization low, you can pay off your balance in full each month or make multiple payments throughout the month to reduce your balance.
With these two tips you will be able to grow your credit score steadily over time without much hassle.
