Updated: Nov 4, 2021
With a fortified credit score, you can make yourself more appealing to lenders when you apply for funding via credit cards, car loans, and even mortgages. Our team has expert knowledge on rebuilding your credit, and we hope that these tips can help you to start the journey toward a healthier credit score.
ONE: Get Informed! Review Your Credit Report in Full
The first step toward overcoming a problem is analyzing the facts. Your credit score is affected by various factors. Knowing and understanding what’s on your credit report will help you figure out exactly where you stand. Reviewing what has impacted your credit score can give you a better sense of your creditworthiness. If you aren't sure how to interpret the information on your credit report, CLICK HERE to learn more about how to book a FREE consultation with a member of our team. For access to your 3 bureau reports and scores, we recommend signing up with Identity IQ, our preferred credit monitoring site.
TWO: Bills, Bills, Bills! Be Proactive with Overdue and Current Payments
Time management is a major factor when rebuilding your credit. If you have bills that weren't paid on time or credit obligations that are left unfulfilled, it is important to work toward bringing those accounts to a zero balance while maintaining on-time payments on current accounts. Not sure where to start with past due debts? One option is to contact your lender or creditor and discuss a payment arrangement with them. Being proactive with bill payments can have a positive impact on your credit score, getting you one step closer to a better overall financial status.
THREE: Teamwork Makes the Dream Work! Become an Authorized User
Do any of your loved ones have a good credit score? If so, reach out to them about collaborating on your wealth-building journey. They can add you to their account as an authorized user, which can have a positive impact on your credit report and boost your score. Be mindful that although this allows you to make purchases, the primary account holder is ultimately responsible for payments. Their responsible use of the credit line can help you to improve your credit along the way. There’s typically no credit check or formal application needed in order to become an authorized user. Don't forget to check with the card issuer to gain an understanding of how they handle reporting authorized users to credit agencies.
Having better credit will afford you access to a higher quality of life, and allow you to make more valuable purchases that can generate long-term wealth. We hope that these tips can help you to start your credit-building journey with confidence.