Working to improve your credit score can be a difficult undertaking due to the fact that you never really know for sure how much impact any given action will have on your score, or how long it will take for those changes to show up.
If you are working to improve your score, you likely have a target number in mind and a deadline you need to hit, which means that you absolutely must get the most impact possible on every action you take. With that in mind, there are five critical actions that anyone can put to work to see maximum improvement in their credit score with minimum effort.
Pay More Frequently to Keep Balances Low
Revolving credit balances can be a massive drag on a credit score, and not everyone has the luxury of bringing in enough salary to simply pay off those balances like many credit score experts recommend.
If that sounds like you, one simple trick you can utilize to lower your balances without making extra payments is to split up your monthly payments into weekly payments. This will ensure that your credit report doesn’t reflect a higher-than-accurate balance right before a payment hits the account.
Ask for Credit Limit Increases
Another simple action you can take to raise your score without paying off balances is to ask for higher limits.
The revolving credit aspect of your credit score is calculated based on the amount of your available credit that you are actually using, so raising your limits will instantly lower that percentage as long as your balance stays the same.
This obviously comes with the condition that you must be responsible enough to avoid using these higher limits. If you can agree to that, raising your limits is an instant win for anyone looking to increase their credit score.
Never Pay Late
One of the most common ways that people damage their credit is by failing to make their payments on time. This is often attributed to a lack of income, but failing to keep track of dates can also be a culprit.
Making an effort to stay organized and get your payments processed on time is the best way to ensure that no additional problems creep onto your credit report.
Dispute Everything
Those red flags on your credit report are often the reason you don’t have the score that you would like, so taking the time to dispute everything negative will always be a good use of your time.
Even if an issue is completely legitimate, there are many examples of people getting things removed from their credit reports by simply asking nicely. Giving this a shot is easy because you have nothing to lose in trying.
Limit New Credit Inquiries
They often say that you can’t borrow your way out of debt, and the same can be said for a bad credit score. Signing up for any form of new credit is going to temporarily ding your score, so avoid any new credit inquiries while you are working to get that score up.
By simply putting these low-cost, minimal-effort strategies to work, you have a solid chance of raising your score without paying an extra dollar on your outstanding debts. If you combine these strategies with a plan to get rid of those debts, you will be well on your way to the score you want in a very short period of time.
