How to boost credit score: First: On Time Payment history 3..
Added 2020-09-09 00:12:36 +0000 UTCHow to boost credit score:
First: On Time Payment history 35%
- Don ever miss a payment...
- Have more credit + history
The Credit Bureau Divides all of your on time payments and divides it by your total payments.
They calculate what percentage your paid ON TIME.
This needs to be at 99% or higher
Second: Credit Utilization 30% of your credit score
- Credit Utilization needs to be below 5%
- Pay it off in full never carry a balance on a credit card
- Pay before your statement cycle is over, that way credit bureau have less money to report on
- Ask for a credit increase every 6-12 months
Do not keep balance on your credit score it’s going to cost you more in interest
Third: Length Credit History 15%
- Start building your credit now! To have credit history. So when you apply for credit it won’t affect your account as much
- Have patience because credit history takes time
- 7-9 years of history to get the best results. But won’t affect as much since it’s 15% of credit score
Fourth: Total of Credit lines/Credit Cards
- The More Credit you have the higher your credit limit will be. Which Means the lower your credit utilization will be because of the credit limit. Overall the higher the score you’ll have if they take care of these 3.
They think like this “Where only going to loan people money, who don’t need money because they’re the most likely to pay us back.”
Banks love lending you money when you don’t need it.
When you do need the money you’ll seen as a higher risk because you need it.
