Many people ask, "How do I improve my credit score? Unfortunately, there is no quick way to fix a credit score. It takes time. Explore these four tips for improving your score today.
There are many ways to improve your credit score, but beware of advice that provides a short-term, quick fix solutions. The best advice for improving your credit score is to manage your existing credit responsibly over time.
Make sure your payments are made on time each month. This is critical. Set up payment reminders or set up automatic payments from your checking account.
Do not take on any more credit obligations, unless absolutely necessary. If you're credit is already low taking on more credit could make it even worse!
Check your credit report and make sure the information is accurate. You are looking to make sure that you do not have any late payments listed incorrectly, and that the balances of your accounts are correct. If you find errors, make sure you dispute them with the credit agencies.
Reduce the amount of debt you owe. Commit to paying down your credit obligations as quickly as you can. Make extra payments when you can. Consider using any bonus you receive, or even your tax return to pay down debt.
Most importantly, if you do have questions, be sure to reach out to your lenders and creditors. Talk with them. You'll be surprised at how much they are willing to help you.
First Alliance Credit Union's lending advisors are experts at helping you figure out how to improve your credit score. If you struggle with low credit or just getting started with building credit we have free tools that can help you, like our Free Credit Score tool in our mobile banking app.