6 Ways to Improve Your Credit Score

At some point in your life, you may have to access some type of credit, such as:

Using a credit card

Using a store credit card

Taking out a loan from a bank or other loan provider

Taking out a mortgage to buy a property to live in

Why you could need credit

Why you would need a good credit score

Credit providers usually need to see some sort of evidence that indicates to them how creditworthy an applicant is – or is not.

This evidence can come in the form of credit scores, a three-digit numerical value ranging between 0 and 999.

The higher the numerical value is, the better your credit score is likely to be regarded by credit scores.

This is because it indicates that you have had no issues in paying off any previous debts within the past 6 years.

Scroll on for our top 6 tips to help

you improve your credit score!

1 Avoid making late credit repayments –or missing them altogether!

We suggest that you consider setting up a monthly direct debit so that you never miss a repayment date!

2 Check your credit file regularly

It is quite possible that credit reference agencies might have inaccurate details about you that can needlessly lower your credit score.

So, when you view your credit report, be sure to check for any inaccuracies and contact the credit reference agency (from where the report has been generated) to request a correction.

3 Close any inactive, old credit accounts

If you have any open bank or credit accounts which you are not using, ensure these are closed or cancelled.

Too many open accounts could give the impression to lenders viewing your credit report that you are unable to secure satisfactory financial terms and are constantly on the lookout for other options.

4 Use a ‘Credit-Building’ Card

Such credit cards are available to those consumers who either have no previous credit history (i.e. have never borrowed at all and therefore have a poor credit score) or have a low credit score that they wish to improve.

The credit limits on such cards are low and if the amount due is paid on time then you are usually not charged any interest fees.

5 Financially disassociate from any previous partners

If you have had any joint credit accounts with a former spouse or a business partner, it might be in your best interests to close these or dissociate from these so that your credit score is not affected by their credit activity - or lack of!

6 Ensure you are on the Electoral Roll

Lenders prefer individuals who stay at a fixed address as this indicates stability.

We suggest that you make sure that you’re registered on the Electoral Roll and keep your details updated on it.

Check your credit score and credit report today at

!

.co.uk !