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November 25, 2004 06:14 AM

7 Ways to Improve Your Credit Score


Excerpt: While credit opportunities are opening up for consumers, poor credit ratings are blocking the doors of opportunity. Lenders are stopped when loan applicants can’t show good credit ratings. It behooves consumers to know the score when it comes to credit rating. Mortgage company decisions, as well as other lending decisions, are very credit score driven. On your credit report are three scores assigned to you buy the three major credit bureaus. Scores range from 350 being poor to 800 being excellent.


While credit opportunities are opening up for consumers, poor credit ratings are blocking the doors of opportunity. Lenders are stopped when loan applicants can’t show good credit ratings. It behooves consumers to know the score when it comes to credit rating. Mortgage company decisions, as well as other lending decisions, are very credit score driven. On your credit report are three scores assigned to you buy the three major credit bureaus. Scores range from 350 being poor to 800 being excellent.

While the exact formula they use to reach these scores is their trade secret, I believe the following credit issues have a direct impact on your score.

· At least 3 accounts should be open and paid on time for at least 12 months.
· Never let your balance go over seventy percent of your credit card limit.
· Do not close -0- balance or unused accounts.
· Credit inquiries should be kept to a minimum. If they must be done, they should be done in a short time frame.
· Requesting your social security number be removed from your drivers license; will cut down on unwanted credit pulls as well as protect you from identity theft.
· Past due accounts should be paid as soon as possible. Negotiating a reduction in what you agree to pay them is often possible. After making arrangements to pay them stick to the schedule.
· New debts should not be a priority during this rebuilding period unless you have not obtained your 3 account minimum.

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What to Do About Your Credit (November 29, 2004)
Free credit reports are coming your way (see Tip of the Week for details). But you may have to take further steps to fix mistakes you come across, or pay for other information, such as your actual credit score. It could be worth the trouble ...
A Generation Weighed Down By Debt (November 28, 2004)
Two weeks ago, when Beth O'Connell ordered several books from Amazon.com, she received a distressing surprise: She had hit the limit on her credit card. Sorry, no books. "This is my first maxing out," explains Ms. O'Connell, a publicist in Watertown, Mass., who graduated from ...
Free Credit Report Details Announced (November 25, 2004)
Consumers in some parts of the United States will be entitled to one free credit report each year beginning Dec. 1, using a Web site called AnnualCreditReport.com, the nation's credit bureaus announced Tuesday. Consumers can also call a toll-free number or mail a written request ...
One Late Payment Can Hit Finances Hard (November 25, 2004)
One late payment on your credit card can pack a pretty hard punch. Not only with fees and rate hikes on the card in question, but also with penalties on your other credit cards. Almost half of all credit cards have so-called universal default penalties ...

Read all 21 posts in the same category of Credit/Credit Card:

Citigroup Says It Will Issue American Express Cards - Dec 17, 2004
MBNA Pitches Rival Visa Card - Dec 14, 2004
Credit Card Loyalty Put to the Switch Test - Dec 09, 2004
Credit Cards Offer Safety In Buying Online - Dec 06, 2004
How to Deal With Your Debts - Dec 04, 2004
FACTA & Your Credit - Dec 03, 2004
Warning On Internet Loans - Dec 02, 2004
High Court Sets Truth In Lending Limit - Dec 02, 2004
Free Credit Reports May Reveal Surprises - Dec 01, 2004
Free Credit Reports Coming, With Pitches - Nov 30, 2004
Teens Need To Embrace Identity Protection - Nov 30, 2004
What to Do About Your Credit - Nov 29, 2004
A Generation Weighed Down By Debt - Nov 28, 2004
Free Credit Report Details Announced - Nov 25, 2004
One Late Payment Can Hit Finances Hard - Nov 25, 2004
Free Credit Reports Are On The Way - Nov 23, 2004
Card Debt - Nov 22, 2004
Soaring Interest Compounds Credit Card Pain for Millions - Nov 20, 2004
Gas Cutter - Nov 02, 2004
Payment Rates - Nov 02, 2004