How to Increase or Repair your Credit Score in 2014:
Increasing your credit score is a timely process but there are many things you can do this year to increase your score. First you can start off by checking your score on a safe secure credit monitoring site. Some websites offer a free quick check but will only give you one of your three scores. That free score should be enough to give you an idea as to where your credit stands. Once you have obtained the score, take a close look at any indiscretions that may have caused a decrease in your score.
Make 2014 the year you get out of debt or pay off as much as you can this year. Your debt to income ratio is a vital part of your credit score. This portion of your credit makes up 30% of your score. Focus on credit cards and any outstanding balances you may have. If you have anything in collections, pay that IMMEDIATELY. It takes seven years from the time you pay this off to be removed from your credit. Your existing mortgage, student loans and other major investment loans can hurt you but are not scrutinized as much as other forms of debt. Your goal should be to have your debt to income ration to be less than 36%.
Another great tip is to make sure you pay all your bills on time. Set up auto payments if that helps. This portion of your credit is 35% of your total score. If you are currently behind on anything, get caught up today. The longer you stay current the better this score becomes. If you cannot afford to pay certain luxuries on time, cancel monthly memberships or even consider cutting off your cable. The focus is to increase your score and some sacrifices may have to be made.
Lastly, make smart decisions when using credit in any form. If you are considering opening an additional credit card, research the APR, annual fees and other penalties for not paying off the balance each month. If you are considering opening a store card on impulse, read the fine print first!
For more information or questions about Real Estate, please call me today!
My name is Dena Mixon and I would love to be your Lexington, SC REALTOR! I am professionally trained and experienced to help home buyers and home sellers in the Midlands of South Carolina. I work very hard to help clients achieve their real estate goals. I can promise that I will always give you the care and best possible service that I can give! Whether you are selling, buying or just have a question, please call or text me at (803)348-1155. EXIT Real Estate Consultants.