In the last part of this series on tips to boost your credit score, we will tell you about 3 more effective strategies to ensure that your credit score doesn’t become a hurdle at the time of applying for a loan/credit in the future:
As highlighted last week, people often get tempted by reward points and offers, and buy new credit cards, with no intention of putting them to use. When it comes to credit cards and their relation to your credit score, always remember that ‘Old is Gold’. Older cards have a longer credit history, and have made regular payments on those cards significantly increases your chances of getting a good credit report and score.
You should always be double aware of your credit-related actions. Indulging in things like taking a credit card advance, reducing your monthly loan EMIs, missing a credit card payment etc. can automatically set the alarm bells ringing. Lending establishments view all these instances as indicators of money troubles and hence might be reluctant in extending credit/loan to you. Being aware of and constantly avoiding such behaviour will automatically contribute to an increase in your credit score.
We all lead busy lives these days and it’s not uncommon to miss our mobile phone bill and credit card payments every now and then. Taking measures to avoid such mishaps can have a positive impact on your credit score. There are several mobile apps and software tools you can use to stay on top of your payment schedules and ensure that your credit card payments, mobile phone bills and loan EMIs are all paid on time.