5 Credit Score Hacks you’ll wish You’d Known Sooner. : ThyBlackMan

Sunday, November 19, 2017


5 Credit Score Hacks you’ll wish You’d Known Sooner.

November 4, 2017 by  
Filed under Business, Money, Opinion, Weekly Columns

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(ThyBlackMan.com) If you are looking for credit score hacks, you are probably in need to boost your credit score quickly. If you are planning to get a home loan, want to increase your credit limit or planning to borrow money from a lender, you will need to have a great credit score. No scheme or offer can improve your credit score quickly. You need to have patience to see improvements but thankfully, there are some legitimate credit score tricks that can help you achieve a higher credit score faster. So even if your credit score is good, try to make it great with these most effective credit score hacks.

1. Build authority

This one is the hardest but most effective way to improve your credit score. If you know someone who has a credit card and maintains a good credit score, convince them to help you become an authorized user of their credit card. If you’re known for having bad credit score, chances are nobody is going to accept your proposal. But if your credit history is not bad or even if it is a fresh start, there are chances that someone will allow you to become an authorized user of their card. To keep the relationships healthy, sign an agreement with the person to keep things clear from the first day.

When you become an authorized user of a credit card, you get benefitted by the person’s credit score as their credit history will become a part of your credit report. As long as you are keeping it healthy, you can expect to see a boost in your credit score.

2. Keep your credit accounts active

Closing or canceling an active credit account will negatively affect your credit score. It is better if you keep those cards active as long as you can. One way to do so is paying bills every month from those accounts. This credit score hack works like a charm.

For example, if you want to owe $3000 from a card with a limit of $6000, your utilization ratio will be 50% which is not a good sign. But if you have three accounts and you owe $1000 on each with the same limit, your utilization ratio will be 16.66% that is good. Using one card is easy, but it doesn’t necessarily mean that you should close the other accounts.

3. Automate your payments

Today or tomorrow, you will have to pay the bills, but if you really want to feel proud of your credit score, start paying immediately. Late payment is the biggest reason why a large number of people have poor credit score. No matter how many credit score hacks you are reading about and implementing if you are not paying your bills on time, you’ll damage your credit score badly.

If you forget bill payments, automate the process. Paying your bills twice in a month can also help you boot your credit score. For example, if your credit limit is $5000 and your bill is around $4000, break the total amount and make a payment before the closing date and the next one before the due date.

4. Follow a monthly plan

There’s no way to increase your credit score instantly. But there are many credit score hacks that you won’t hear from credit bureaus. One of the most effective ways is to create a plan for at least six months.

In the beginning, you do a few things – check your credit report for errors, negotiate with the lender, try to use goodwill benefits, and start paying bills on time. If you have a credit card you don’t frequently use, start using it for small utility bill payments. Stop using credit for unnecessary things.

Once you reach a position where your credit score is considered good, expand your credit limit, but don’t use it. Try to cut down your utilization ratio. If possible, try to transfer credit card debt to personal loans. It can dramatically improve your credit score because personal loans are treated in a very different way.

5. Try everything possible to improve your credit score

Don’t fall for the schemes that claim to boost credit score in a short period of time. Don’t take risks without calculating the potential outcome. If you really want to use credit score hacks and tricks, follow the abovementioned tips. If your credit score is bad or even if you don’t have a credit history start working on it now. There can be moments when you’ll feel helpless or you may not be having enough money to pay for everything. Don’t give up. Think through all the available options. You can always climb out of the bad credit score spiral.

Your credit score is calculated on the basis of some key factors. If you are keeping all of them in good condition, your score will start getting better. The factors include the amount you owe, your payment history, types of credit you use, length of your credit history, and new credit.

Staff Writer; Corey Shaw

Have any Tech Tips? News? Hit up our Tech Guru at; CoreyS@ThyBlackMan.com


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