My husband and I want to improve our credit scores and have about a year to do it in....advice?

Question

We both have pretty good credit, I've never had a late payment but have quite a bit of debt. My husband doesn't have nearly the debt I do but had some late payments about 3-4 years ago and has since paid those accounts off. So together we have fair/good credit but want to get better credit. What are some things we can do in the next 6-12 months that will help? We are trying to raise our credit scores because we want to refinance our home at a good rate. So, what's some good, sensible advice to raising credit scores?

Answer 1

for sure, pay down some of your debt. they do not like maxed out credit lines.

Answer 2

Be patient. It won't happen overnight. Keep making your payments on time at all costs, and pay down your debts. You WANT to have SOME credit debts... you just want to make sure that your balances are low and that you have a lot of space between your balance and the maximum credit limit. Other than that, all you can do is wait. Credit changes over time. There are no quick fixes, and if anyone suggests otherwise, they are either wrong or are selling something. If you keep up with your payments, in 6-12 months time your credit will improve. Whether or not it will be dramatic enough to help you out will remain to be seen. That simply depends on what your score is now and what happens between now and then.

Answer 3

You will need to knock down some of your debts. Also, each credit card (the limit) you carry will act as total amount of indebtedness you could get into. This is used against you negatively. Have a few cards with only 10% on each of them, do not consolidate as that will lower your credit score. Your bottom should be 790 and if higher, the better. Whatever you do, do not close any accounts. Having open accounts with no balance is better than closed ones with no balance.

Good luck to you two.

Answer 4

you should have 3-4 open lines of credit. So that you can prove that you can pay people on time. Also medical bills or items in collections really hurt your score. So, you pay them or dispute them.

Answer 5

1. Continue making payments on time.
2. Reduce any c/c debt to below 30% of your limit.
3. Don't apply for any credit unless necessary - inquires will cost you points and could end up looking back to potential creditors.

Answer 6

Pay the mortgage on time is what the experts call "the simple credit fix"

I'd hold off on the refi right now... The underwriters are not signing many loans, I don't have enough room to type why....

Answer 7

shop up . do no longer waste money on issues you do no longer want; like Starbuck's, makeup, going out to consume and/or drink. With the money you shop, paintings on paying off your credit enjoying cards. attempt to repay extra desirable than the minimum. it is going to probable take extra desirable than 3 months, yet, ultimately, once you get your credit enjoying cards paid off,(wow! you paid a brilliant form of pastime, did no longer you?!)do no longer celebrate by ability of going to Hawaii! initiate over with in basic terms one mastercard. that is all you like. do no longer purchase issues you do no longer want. Get a mastercard and not using a each and every year fee. Get a mastercard with a low pastime fee. Pay it off on the tip of each and each month. you're able to do it, incredibly while you're the two working. while you're severe approximately this, you're able to do it! in case you smoke, provide up smoking!! shop a brilliant form of money, and shop your lungs. Use effortless experience. while those new credit enjoying cards are available in the mail, rip 'em up! those rattling mastercard companys! you are able to conquer 'em!! i understand the two one in each and every of you're able to do it in case you paintings puzzling.jointly. My husband and that i've got been buried a fer years in the past, and we in basic terms offered a sparkling abode, doing each and every little thing I advised you. Beat the device!! And sturdy success.

Answer 8

You need to pay your debts down to get your debt to income ratio in line. That will take time, probably most of the year.

Answer 9

I would say supplement your income so you can pay off some of your debts and clear it up that way. Jennifer