What is the best way and the fastest way to increase your credit score?

Answer 1

Pay any existing revolving credit accounts (store cards, credit cards) , keep the balances low and pay on time.

Answer 2

Work with someone who can guide you in that regard. There are a number of firms that charge very little compared to the good they do for you.

The very fact that you are asking that question here, is proof enough that you would stand to benefit greatly. I've seen people say that they shouldn't pay for this kind of help -- but they are NOT that expensive. And unless you know what to do on your own, you would benefit by their assistance. If you knew what to do on your own, you wouldn't be asking the question here.

First of all they will helkp write and send letters to your creditors informing them of your plan to work out an acceptable arrangement for you. They would do that and you don't have to. In my opinion, that alone makes them worth waht they charge -- typically a flat fee of around $395.

Search out credit counselors in your area, either over the Internet or by calling the lending department of a well-recognized financial institution in your area. Any leander would be able to point you in the right direction.

Great question.

Hope this helps.

Answer 3

I was surprised to learn that my credit score was lowered because I was opening those "no payment no interest" accounts that EVERYONE is offering. I thought I was being smart using someone elses money for 18 - 24 months but opening all those accounts hurts your credit. It makes it appear as though you don't have cash flow to make purchases. If you have alot of credit cards cancel the ones you don't use.

Answer 4

Here are some tips to maintain and improve your score fast, based on three credit situations.

Strategy One: Obtain a Credit History

There are many reasons you may have no credit history. Maybe you're just starting out, maybe you pay cash for everything and have never needed a loan. In any case, if you have no credit history, your FICO score is likely to be low.

The easiest way to raise your score is acquire a loan, and pay it off on time. In general, installment loans are weighted more heavily than credit cards. In other words, you will improve your credit score faster if you buy goods with an installment loan, rather than acquiring a credit card.

Another way to raise your credit score is to take $1000 and open a 6 month CD account at a financial institution. Now, get an installment loan for $1000, using that CD as collateral. Now, here's the trick. Take the $1000 loan, and open another 6 month CD account at another institution. Take another loan for the $1000 at the second institution. Do this one more time.

Now what you have is 3 loans. Pay the minimum payment for 6 months. In the last month, cash out your CDs and pay the loans off. You now have a credit history, and did not go into long term debt to get it.

Strategy Two: Maintain Your Good Credit History

Good job - you have paid your bills on time, and do not have high credit card debt. Here's some ideas to keep your credit score as high as possible.

First, don't close your old accounts. One part of your credit score is based on the amount of credit available verses amount of credit used. Closing old accounts can lower this part of your score.

Second, paying off your credit cards every month is good money management, but you may be able to improve in this area. Here's the scenario: you have a $2000 credit card. Every month, you charge about $1800 to that card. And, every month you pay it off. But here's what happens - your credit card company reports your credit information monthly to FICO. If they report it before you pay off your card, it looks like you carry a balance on your credit card every month. You may find your credit score improves if you pay off your credit card at a different time of the month.

Strategy Three: Repair Your Poor Credit History

For whatever reason, if you have a poor credit history, there are things you can do to improve your score. Some of them take time, and you will probably be best served by talking to a credit counselor to be sure that you not only repair your credit history, but also eliminate what caused that poor credit history in the first place.

The most heavily weighted part of your score is based on your payment history. The first thing to do to start repairing your credit history is to pay your bills on time. The mortgage is the most important, followed by installment loans, and finally credit cards.

The next largest portion of your credit score is based on how you use credit. The fastest way to improve this is to pay down your credit cards.

One final thing to look for is errors in your credit report. Get a copy of your credit report from all three primary agencies, and look at all the entries. You can find the agencies here: experian.com, equifax.com, and transunion.com. If there are any errors, start the process to have them removed. Call your creditors - sometimes they will remove negative information.

Before making any drastic changes to your finances, consult with a financial advisor.

Answer 5

Credit Score Explained

While taking a decision on your loan approval, your lender will determine your credit score. The most common
scoring method used is FICO scores. These ratings are usually used for determining your eligibility for mortgages. This ...............

Answer 6

To raise your FICO credit score you need to be vigilant on your credit report and score by keeping updated and removing any errors. In addition, try to add positive information and not to add any negative information. If there's negative information such as late payments, try add explanation on your credit report

Answer 7

Pay all of your bills in full and on time and then you will have a high score like me!!

Answer 8

DONT WORY ABOUT YOUR CREDIT SCORE ! ! !! It should be called the "i love debt score"...80% of your credit scores revolves around you having debt. Goto www.daveramsey.com and follow his teachings...

Answer 9

Pay your bills on time!

Answer 10

pay your bills on time