3 Steps to Improve Credit Score
Found out your credit score is not so good? It's OK. You're not the only one who would like a better one. It will take some time but you can bring it back up. After you do, you'll save money by qualifying for lower interest rates at the dealership. Plus, you might be offered extra incentives and save even more. Here are three simple steps to improve credit score.
Start Paying On Time
We realize this isn't always easy. There are some things you can do to make it easier, though. First, if your finances are tight, cancel any monthly expenses you don't need. That means cable TV, Spotify, and anything else you can do without. Next, set up payment reminders. Most of your utilities and services provide this feature but you can simply put the due dates of all your bills on your calendar, if you'd like. A calendar that sends you a text or email when a bill is almost due is the best kind. Lastly, use credit cards sparingly. You don't want to end up with more bills than you can afford anymore. If you do these things, you'll have a better shot at paying bills on time.
Dave Jones, retired president of the Association of Independent Consumer Credit Counseling Agencies, says it's a good idea to appear to be in good financial condition. There are different ways you can do that. Making partial payments or charging more for you services are things you should avoid. Credit agencies don't like these things. Taking cash advances or even spending money at pawn shops or divorce attorneys' offices are also hints that you're becoming risky to creditors (companies that loan money to you). People who always pay on time rarely spend money at those places, Jones says.
Keep at It
We know. It's a corny thing to say, but it's important. Stay cool and persist. You got this! The improvements might not happen as quickly as you'd like but don't get frustrated. Keep your head in the game. You can check your credit score up to three times per year without causing it to decrease. There's no reason not to do that. Before you know it, your score will be rising and you'll be on your way to the dealer to buy or lease your new vehicle.
When it's time to buy or lease a car, start by getting free quotes from local dealers. You'll have a clear picture of the local market in minutes. Click here.