Most people dont think to check out there credit score untill it comes to needing a type of loan, a house or even a car. When they do however there usually caught by suprise by how low there score actually is, well today im going to show you how you can fast track your credit score over the next year.
Firstly If your thinking of building your credit with debts still hanging over your head well… Dont! Why? because bad credit can affect your credit score much much more than good credit and removing it can usually have a catapult affect on your score, this is credit building 101.
The best strategy to removing these black marks of your credit history is to pay them off or simply submit a dispute to the credit bureau asking for it to be removed. Sometimes the company you have paid off will remove this for you or show it as being paid but not always. We want to be certain this will be removed off the system and sending a pay for delete offer to your creditor will do this or atleast get a few of the items removed. However you have to approach accurately reported negative info in a slightly differnt manner. Credit bureaus dont remove this type of verified information even when you dispute it, so thats where the pay and delete offers come in. Sometimes creditors wont take you up on the offer but alot will.
To explain in further detail, a pay for delete offer is a method you can use with delinquent accounts, this is basically where you send a offer to pay your balance off in full in exchange to have the negative information remove from your credit report.
The tradional way to improve credit is to take out a credit card, now depending how bad your credit already is you may be thinking How can i get a credit card if i have such bad credit or no credit history?
There is a long list of credit card suppliers that specialize in building credit, this is the type of card you want to take out. Why? Because they specialize in this field for a reason and its one sure fire way to make sure payments are going on file. Dont just settle for one card either, 2 low threshold cards can sometimes be better than 1 high threshold card if your trying to build credit fast then 2 cards going down as paid everymonth is building credit twice as fast as one. I dont however recommend taking these out both on the same month as when your credit checked it lowers your score i recommend applying for one and once you receive it taking another one out 3 months down the line.
Chrome Credit Card
The above list all focus on people with a low credit score so even if you have bad credit aslong as your in a job you should have no problems getting accepted.
The Most Important Factor’s
The most important factor by a mile is your payment history, do you make payments on time? If you do then slowly your score will creep up but if you dont then the oposit will happen. This is why its good to have a variety of credit avaliable and ensure its paid off at the end of everymonth. Do this and you will notice a marginal differnce on your credit score within 4 to 6 months. Variety is the second most important factor, a person with a car loan, credit card, mortgage and phone contract will be easier to score than a guy with just a credit card.
Another way to increase your score fast is making sure you are on the electrol roll because even if you have credit on a adress its not 100% you live there where as being on a electrol roll insures this thus increasing your credit. Another tip is to take out a small loan at the credit bureau, these are usually none profit so you will not get hit with any hidden fee’s and all loans are filed so when you pay them back it will go down on your file.