How to Increase and Maintain Your Credit Score

credit score

If you have recently been denied a new credit card or you are not able to ascertain a loan, you may want to check your credit score.

Your credit score is a large determining factor when figuring out what you are eligible for financially. If your credit score is less than 760 than it’s going to be harder for you to get loans and accounts, and you’ll get higher interest rates. You want a credit score of 760 or higher in order to get the best interest rates and in order to be eligible for loans and lines of credit.

Increase Your Credit Score

increase credit score

The first step to increasing and maintaining a healthy credit score is to know your credit score and history. You need to know where your credit stands before you can start improving it. It’s also a smart idea to look over your credit report to make sure there aren’t any errors that are making your credit score worse than it actually is.

Make On-Time Payments

One of the main ways to boost a low credit score is to make sure you’re making on-time payments. This will have a big impact on improving your credit.

Try planning all your fixed monthly payments around your paychecks on a calendar. For instance, maybe you get paid every other week. Mark your pay dates on a calendar and next to each pay date list which bills you’re going to pay after receiving each paycheck that month.

You can also set reminders on your phone or on your calendar to help you remember to make important payments before their due dates.

Setting up automatic payments is a third great way to ensure you pay all your bills on time. You can even sometimes get discounts on interest rates for enrolling in automatic payments.

After a few months of making on-time payments, you can start to see an increase in your credit score.

Keep Your Total Debt Low

The second big key to increasing your credit score is to keep your total debt amounts low. Debt is a normal part of finances today. We use credit cards to make payments and reap special benefits and we use loans and credit to make major purchases like cars and homes. But having a high amount of total debts is one thing that will weigh down your credit score. So try and keep it to a minimum.

If you already have a large amount of debt weighing you down, then sit down and make a detailed plan to reduce the amount you owe. There are many things you can do to reduce your overall debt. Maybe through making some personal sacrifices you can pay off some loans or afford higher monthly payments. You could get rid of your subscriptions for a while so you can spend more on debt payments. You can sell your laptop or your second car to pay back a bigger chunk of a loan.

Maintain A Healthy Credit Score

maintain credit

After working hard to bring your credit score back to life, make sure you keep making payments on time and keeping your overall debts low. Take some time to look through your credit history and figure out what you struggle with. When you know your credit score weaknesses you’ll have an easier time not making those same mistakes again in the future.


Take the time to figure out what is going on with your credit score today. It may be overwhelming now, but once you have created your plan and once you know that you can stick with your plan, you will be one step closer to financial freedom.

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