5 Easy Ways to Improve Your Credit Worthiness

5 Easy Ways to Improve Your Credit Worthiness

If you want to improve your credit worthiness the good news is that you’re already on the right step by having some sort of a credit score. 

The even better news is that there are easier ways to help you get on the track of bettering your credit worthiness.  

Here are just 5 easy ways to get you there. 

  1. Pay your bills on time 

Do this by requesting that debits come off of your personal bank account towards payments. This will help you to make punctual payments. But most importantly make sure that there’s money in the account that’s being debated. To avoid paying fees, penalties and unnecessary interest, lenders also want to see that you’re able to pay. 

If you find yourself in a position where you truly can’t make a repayment, explain your situation early to your lender. You might be able to negotiate an alternative repayment plan.  

  1. Keep an account open, active and in good standing 

This will help you maintain a credit history so that lenders can see what type of borrower are you in regards to payments. This means you need to have credit accounts open in your name. A cell phone contract or a monthly internet data plan, electricity and water accounts or store credit cards. 

  1. Be prudent with your credit 

Although credit is essential in life, but too much of something can actually be a bad thing for you. Therefore if you don’t want to seem like someone who can’t manage their money, rather avoid too much credit. If you’ve been turned down for an application, wait a while before trying again. 

  1. Maintain steady employment

Employment is not part of your credit score, but it does show up, and is required by most lenders. You don’t have to keep the same job, but lenders prefer to see that you’ve stayed with a single employer. 

  1. Check your credit report regularly

If you’re wrongly billed and tempted to refuse to pay for something you didn’t use or buy, protect your credit report by disputing the amount after first paying off the bill. Defaults are difficult, if not impossible to erase from your credit file, so nip them in the bud before they’re listed.

Categories: Financial tips