5 tips to a solid credit history

If you have a poor credit score, you may wonder what needs to be done to improve your credit history. There are many individuals who suffer from financial crisis because of unemployment, health problems, or poor management of resources. If you think that you are in hot water, the following tips on how to improve your credit score can help you:

• Request your credit report annually: It is important to get a copy of your free credit report every year so that you can have detailed information with regards to the accounts you have, and it will also enable you to verify doubtful transactions and clear up your records. You can get a free copy of your credit report annually here.
• Make a detailed list of your account balances and set up reminders. If you want to have a good credit score, it is important to pay your debts on time. It will be helpful; to enroll in automatic payments through your loan providers or credit cards. You can also receive email or text reminders from some banks regarding the due dates of your loan.
• Keep a record of your accounts and their transactions. You can use the details in your credit report and the receipts of payments and other financial documents proving your transactions.
• Try to pay more than the minimum payment to reduce the amount of your loans. Only utilize 30% of your credit limit on your credit cards to maintain a solid debt to credit ratio.
• If you are unable to afford your current payments, speak to your creditors with regards to setting up a more feasible payment plan. It is advisable to be honest with your creditors especially when you experience hard times. Most often than not, they will be willing to work with you during your hardship.
• Create a well structured budget. We recommend visiting Mint.com for all of your budgeting needs. The service is absolutely free and if you have trouble keeping a budget, or remembering the payment due dates, this tool is your new best friend.

If you require assistance with your Credit Repair needs, feel free to contact us, we can help!