A Beginner’s Guide on How To Improve Your Credit Score

I’ll be the first to admit—I love my credit card, y’all. There’s something about swiping the plastic through a machine that makes me feel calm. However, my careless swiping has gotten me into some hot water through the years. I had to work really hard to get my credit score to what it is today. Now, I want to share some tips on how to improve your credit score.

Make Timely Payments

Late payments aren’t compatible with a healthy score, y’all. You must pay every bill when it’s due so that your score doesn’t go down the toilet. Now, you may be thinking—why does it matter if I have a low credit score? The reality is a poor credit score will affect your ability to get loans in the future. It shows banks you’re unreliable. Make timely payments on everything, and avoid risky scenarios such as a foreclosure. Timeshare foreclosures, for example, can put your financial future in jeopardy. For these reasons, you must make timely payments on everything.

Avoid Minimum Payments

Sadly, making credit card payments on time isn’t quite enough. If you really want your score to improve, you must avoid making minimum payments at all costs. Banks want to see that people are financially secure enough to support themselves even when tricky situations arise. Making minimum payments tells them you’re barely getting by. As a result, your score might drop. Adding a few extra dollars to the minimum due each month will improve your score.

Don’t Open New Credit Cards

Y’all, don’t open another credit card while you’re in the middle of paying another one off. A bank doesn’t know if someone who has opened a new account can make the payments on time. That’s why it’s even more crucial to pay things off in a timely manner and show institutions you can handle money.

Follow these tips if you’re wondering how to improve your credit score. Perhaps the best piece of advice I can give you is that this will take time. Remember, Rome wasn’t built in a day. Try not to be hard on yourself! If you’re smart with your money, things will get better soon enough.