Useful Things You Should Know to Boost Your Credit Score

When applying for loans, opening a bank account or even renting out an apartment, your credit report is required. It helps determine whether or not you have the capability to repay the loans that you have taken out. 

Of course these credit companies would like to know if you are a good risk or not. If you have poor ratings on your credit report, there is a lesser chance that your loan will not get approved or you will not get the interest rate that you want. 

More often than not, people with bad credit reports will run the chance of paying loans with high interest rates and shorter payment terms. If you want to improve your credit score, here are some useful things you should know: 

• Get a copy of your credit report from the credit bureaus. It will be difficult to improve your credit score if you don’t know your current standing. Credit reports are given free once each year, but if you want to know your credit score then you have to pay minimal amount for it. FICO credit score is the most commonly used by creditors. There are three credit bureaus that can supply you with this score namely Equifax, Experian and TransUnion. 
• Don’t accept all the pre-approved credit card offers. There are times when you will get this type of credit card offer in your mail and even online. Resist the temptation of responding to these offers because easily approved credit cards can affect your credit score. Whenever there’s an inquiry in on national credit bureaus, points are deducted from your score. Frequent and impulsive checking of your credit score can harm your score. 
• Avoid transferring from one credit card to another. You may think the transferring your balance will not hurt you because you will receive 0% interest rate for a particular period of time. However, it will be much better if you don’t close your old credit card because long-stand credit card will look good in your credit report and may give you a good credit score too. 
• Don’t miss out on due dates. Paying your bills on time and on a regular basis if you want to avoid credit score dings. For every late payment you make on your bills, it depicts a picture that you are not reliable. Keep in mind that a huge chunk of your credit score is based on your payment history. If creditors can see that you are a responsible in paying your bills, it can improve you credit score big time. 
• Raise disputes when necessary. If you see that something is wrong in your credit report, make sure that you dispute it. If you have been a bad person as far as your creditors are concerned, you can get one bad thing out of the report yearly. You just need to be consistent in improving your credit scores. If there are negative notations on your credit report, make sure that you dispute these things. Be patient because it is not easy to remove any negative information on your credit reports. 

About the Author: The article is done by Mackenzie Sulivan, technology, seo and finance copywriter, guest blogger and web developer. She likes covering seo, technology and finance articles and news via online edition. She contributes to this site: 12 Month Loans from eMoneyBuddy.