Top 3 Ways To Improve Your Credit Report

By Author: J.J. Yong
Total Articles: 963
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So, you've been dragging around a credit report with scores lower than the average and it's keeping you from soundless sleep and stress free days. The facts are that if you're holding bad scores on your credit report, you'd be paying way more than necessary for car loans, credit cards and mortgages. So do something to change things now, before it's too late.

First step, pay down your plastic cards, they are the enemy and the source to your outstanding bills. Paying off your loans which come in installments can help a little so long as you make sure you pay it monthly and before the due dates. It would also help to pay a little more than the minimum amount if you can afford it.

Next, don't take full advantage of your credit cards. If you have more than one, break the rest and throw them as you don't actually need them. Use that one card lightly and for emergencies only such as car repairs and not for golf clubs or cute shoes. What's typically reported to the credit bureaus, and then calculated into your scores, are the balances reported on your last statements. So try using only about 30% - 50% of your card's limit. ...
... Never hit the maximum.

Besides what has been mentioned, dust off old cards. The older the credit card, the better. Forget about upgrades to platinum cards and gold cards. If you know you cannot afford it, stick to the basics and keep your first card. If you don't use your old cards anymore, the company would stop updating your financial activities at the credit bureaus. The account would still be visible on your credit report but they wouldn't contribute much weight in the scores.

In a nutshell, there are quite a number of easy ways for you to hike up your credit scores thus producing better credit reports. The solution lies in your managing abilities. Always remember due dates and never miss them. Since credit cards serve as the biggest problem, try to live with cash instead of cards. This would help you in many more ways than you can imagine.
For more information poor credit score and ways to improve credit score, visit CreditScoreEssentials.com.