How To Improve Your Credit Score Bit By Bit?
You are new to the credit world and have decided that you want to buy a new car or home. With either purchase, you will need to know your credit score and where you fall into meeting the criteria set forth by the company who will be financing you. Your credit score is one of the most important things that you will need to maintain throughout your entire life. But if you do not know about your credit score, then read on and learn all about how to improve your credit score bit by bit.
This article will tell you who manages your credit score or FICO score and show how it is possible to increase your credit score to an acceptable level for purchasing that all too important dream car or home.
There are three companies that will be managing your credit score. They are Transunion, Equifax and Experian. If you have credit cards, student loans, car payments, mortgage payments, then your bill payments will be monitored by these companies and will go on your credit report. The manner in which you pay your bill will impact your FICO score also called your credit score.
The credit score ranges from 300 – 850 with 850 being the highest. On average a 700 credit score is considered good for purchasing. Remember that the more you pay your bills like credit cards, student loans, car purchases, home mortgage, on time the better your credit score will be. So paying on time can increase your credit score. You will want to know that you are entitled to two free credit scores annually.
You may call these companies individually and receive your free credit score.
If you have struggled with payments and know that your credit score is low, the best way to improve your credit report is to order each of your reports from the main companies. Review your credit report with a credit report specialist who can point out any issues that may be corrected on your credit report.
There may be bills that you can remove based on certain laws, or there may be bills that have been on your report that show negatively that may be taken off. Getting with a professional will help you understand your report and help increase your score. Consult various reputable companies to see the best pathways to help you improve your credit. You are not alone and there are professionals who can help.