Having a good credit score is very important these days. Without a credit score that is at least fair, you do not have a chance of buying a car or a home, or even getting a good credit card. It takes time and hard work for anyone to boost credit scores. There are many pitfalls that can affect your score that you should be aware of if you want to have a good chance of improving it. We have the most common mistakes people make below.
- Paying Bills Late: This is probably the most common reason people’s credit scores are lowered. Not only do you get a late fee added to your debt, but your credit score will take a hit, so it is vital that you pay bills on time. If you have a hard time remembering when each one is due, most services provide notifications that you can sign up for.
- Less Than Minimum: Most credit card companies have a minimum payment amount. If you pay less than this, you will start seeing your credit score go down. To boost credit scores, the best thing you can do is to at least pay the minimum and if possible, pay a bit more.
- Too Many Credit Cards: Having too many cards can also cause a problem for people trying to boost their scores. Lenders will start worrying that you will not be able to pay back all of that credit, even if you do not use all of the cards. Choose one or two credit cards and build your credit score on those by paying the bills on time each month.
- Not Checking Credit Report: Many times, credit reports have mistakes in them that can affect your score. If you want to avoid any issues that are not of your own making, then you need to keep track of your credit report. Think of checking it at least once a month and if you do find any issues within it, notify the service at once.
- Not Using Your Full Name: Take the time to use your full name when applying for any cards or when trying to rent a car. If you do not use your full name, you will not get the boost in your score that you want because there will be a confusing credit history behind you. You want your credit report and history to be as straightforward and clear as possible.
A company like Boost My Score can help you when it comes to improving your credit score. The can teach you everything about the process of boosting your score, including what piggybacking credit cards is and what the most common mistakes are. With a financial advisor on your side, you can be sure to start seeing an improvement in your score. Take the time to select a great company that has the best of the best working for them. With an expert on your side, you will have a much easier time improving your credit score.