Ways to Improve Your Credit Score

Kristina Kraus
Greater Nevada Credit Union
We all encounter obstacles throughout life which can affect our finances, and when our finances take a hit, so can our credit score. A low credit score can affect you in many ways, including your ability to borrow money or even rent a home.

So how does one get their credit score back on track? Here are some simple and effective ways:

Pay Your Bills on Time

Bills that are constantly paid on time will help show stability and grow your credit score. If you have accounts that are past due, start by getting those paid immediately. Then, if you need help remembering when future payments are due, set up recurring calendar reminders on your computer or phone. Easier yet, set up automatic bill payments in your online banking.

Ask for an Adjustment

If you have a history of timely payments except for one or two late ones, you may be able to ask for a good-faith adjustment on your credit report. If you think there’s an error on your credit report, contact the servicer of that payment immediately to have the mistake removed.

Use Care with Your Credit Cards

Constantly having your credit cards maxed out doesn’t look good even if you’re paying them off each month. Try to pay down the balance throughout the month to keep the balances lower. And think twice before applying for yet another credit card. Each time you apply for credit it shows up on your credit report and lenders may think that you are trying to take on more debt than you can handle. At the same time, it’s better to pay down your current cards but keep them open, because closing a credit card can also impact your credit score negatively.

Have Patience

Most importantly, you have to remember to be patient. Your credit score can’t be repaired over a week or even a month. You have to show a track record of stability and healthy habits for your score to grow and that takes time.

Want more tips on improving your credit score and overall finances? Check out Greater Nevada’s financial education resources.
6/19/15