How Can I Raise My Credit Score?
I was asked the other day "How can I raise my credit score?" (Fico Score) A FICO score is a credit score developed by Fair, Isaac & Co. Well I don't pretend to be a credit score expert, but a credit repair expert gave me the following hints for my clients:
- 1. Close any Unused zero balance cards as they are factored into the score as if they were "maxed" out.
2. Consolidate low balance cards into one higher balance and close the "emptied" cards.
3. Request lower maximums on unused cards you want to keep.
- 4. Request a yearly Free Credit Report
5. Check for Duplicate entries on credit report and Contest them to the reporting agencies.
- 6. Check for Errors on credit report and Contest them to the reporting agencies.
7. Check for Liens / Delinquents / Judgments that have been satisfied and get them removed or corrected.
8. Don't make new Big purchases when you're applying for a mortgage.
posted by Anonymous @ 10:22 PM
1 comments
1 Comments:
I can only speak from my personal experience, but I've noticed that keeping very low balances, if not zero balances, on all revolving credit makes a huge difference in my FICO score. If you do keep balances, I don't think I would close zero balance credit cards unless you have an incredible amount of revolving credit available to you. The reasoning here is that by closing available credit, the balances that you are carrying will show as a higher percentage of your available credit is being used, thus lowering your credit score.
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