whats the best way to improve your credit rating preferabley for free
2006-09-07 05:21:21 · 8 answers · asked by anyhopes 1 in Business & Finance ➔ Credit
small regular amounts on a credit card and pay it off no matter what.
2006-09-07 06:00:43 · answer #1 · answered by alatoruk 5 · 0⤊ 0⤋
There is no sure fire way to improve your credit rating for free. It works on a return basis, you need to proove you are good with money and can pay your bills in order to improve the credit rating and allow you to borrow bigger amounts.
Some people tend to apply for a low interest credit card and use it for very small amounts. IE, buying something of a value of a few pounds on the card and then paying the bill off in full on its arrival. This means that you are paying your full debt off everytime etc.
To be fair, it is about discipline in not borrow more then you can afford and being able to ensure you can pay things off on a monthly basis etc.
2006-09-11 02:45:11 · answer #2 · answered by stitch201983 1 · 0⤊ 0⤋
Keeping credit balances under 50% of the limit available does help credit scores. However here are some tips on improving your score for almost free (stamps & phone costs) that will work:
1. Write a letter to the Credit agencies, challenging all negatives (lates, charge-offs, etc) Write one letter per negative item, there's a good chance some valid negatives could be removed.
2. Write a letter to each company that has made an inquiry on your credit. Let them know you don't recall authorizing the inquiry and request proof or removal. Sometimes, it's easier for them to remove resulting in some valid inquires taken off your report.
After 60 days, review your credit reports again. Depending on your situation, sometimes calling and making amends (or asking nicely) with those who have placed a negative on your report will cooperate. I had two agencies remove negatives for asking nicely.
Repeat the steps. I had to challenge some negatives twice before it was removed (though it was a valid negative, it came off the report because the creditor didn't respond). Challenging a 3rd time seemed to upset the credit agency and creditor.
2006-09-07 18:07:02 · answer #3 · answered by Master T 1 · 0⤊ 0⤋
As daft as it sounds you need to borrow money and pay it back. Get a credit card, spend a little and pay off the balance as soon as the statement arrives this will build your credit rating.
2006-09-07 05:25:23 · answer #4 · answered by predator 2 · 0⤊ 0⤋
improve credit rating for free? No sure what you mean.....
If you have outstanding debt or delinquent / derogatory accounts you are going to pay all of them off, for starters. (which will cost you) If your have no delinquent / derogatory accounts you can just pay all your accounts on time. Your score should improve every 6 months. Hope this helps, but be more specific next time
2006-09-07 05:26:58 · answer #5 · answered by That One Guy 2 · 0⤊ 0⤋
Find someone close to you who trusts you and has really good credit. Have them add your name on all of their credit cards. You do not need to use or have access to the credit, just adding your name will boost your credit rating.
2006-09-07 05:30:52 · answer #6 · answered by Anonymous · 0⤊ 1⤋
well, it wont be free but the only way to improve it is by paying your bills on time !
2006-09-08 05:50:03 · answer #7 · answered by Rebz 5 · 0⤊ 0⤋
pay off all yoru bills!!! Always pay more than your minimum payment on cards and your credit rating will look better
2006-09-07 05:24:37 · answer #8 · answered by jenna p 3 · 0⤊ 0⤋