We know that credit score is a numerical expression which is based on a statistical analysis of a person's credit files, and it represent the creditworthiness of that person. Good credit score will enhance your credit report. I can say that increasing your credit score is as similar loosing your weight. So I will suggest you to please follow the following tips to improve your credit rating and thus to have good report:
Pay Down Your Credit Card
In order to improve your credit score first and foremost step is to pay off your credit card debt. Paying your credit card debt not only mean that one should try to get rid of higher interest rate, in fact you should try to keep those balances down over higher interest rates to reap the most improvement in credit score.
Pay Your Bill On Time
It is important for you to pay to pay your bill on time. Timely payment & collection will have positive impact on your credit score. Don't pile up your payments for long term.
Update Your Credit Report Timely
It is important for you to check your credit report from time to time. Sometimes it happens that your credit report is not showing your correct credit limit for your card. In that case you should go to your credit card issuer and ask them to update the list.
Become Authorized Member In Any Old Card
If your family member or your friend is using a card for past long time and agrees to add you as an authorized user, that will be an added advantage for you. The older the credit history the better will be your credit score. If your mother is using a card for 15-20 year and she adds you as an authorized user then you will automatically observe that your credit score will go up.
Enter Into "Rehab Program"
It may happen that you have taken student loan, but you are not able to pay off your amount on time in that case I will suggest you to enter into "Rehab Program". Such program will help you to get back your account on track within 12 months.
Hire Collection Agency Who Remove Debt From Report After Payment
You can adopt another method which is called "pay for delete". In this method you can get an agency who agrees to remove debt from your report after the payment is made. This method works effectively for smaller amount and medical collection.
Start Small
If you have limited or poor credit history,the livelihood of being approved for large amount is slim. Without a proven credit report, most lenders won't be willing to extend significant amount, so it its in your favour to start with smaller amount. A lender would like to see that you are financially responsible with relatively smaller amount before taking on more risk with larger sum.
Annually Check Your Credit Report
Reviewing your credit report annually is important for you. It will keep you on safer side and will help you to resolve those issues which needs to be solved sooner. Generally informations given are accurate but mistakes do happen on occasion.
Thus I would like to suggest you to keep in mind the above mentioned guidelines in order to have good credit score, which will enhance your credit report.
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