Business

Five Ways to Boost Your Credit Score

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1. Check it out

Credit scorers aren’t infallible. They make mistakes. You won’t know that if you don’t check your own score. If you have ever owned a credit card, a store card, a mobile phone, bought something with an interest-free period, taken a loan or even stage paid your gas or electricity bill in installments, you will have a credit score. You can find it out from credit ratings agencies such as Veda. If there are any errors in your credit history, you can get them changed.

2. On time, all the time

Paying your bills on time, all the time is the key here. An odd late payment or a missed bill won’t matter but a history of timely payments is important. Automatic payment can solve this problem if you have trouble keeping track of paper (or emails).

3. Ask, but not often

One thing credit scorers can get jittery about is a lot of credit applications. A lot of applications for different kinds of financial products in a short time can be a sign that a would-be borrower is under stress. The best option here is to do your research about what kind of product or loan you want first before peppering lenders with directly.

4. It’s the way you track it that matters

Credit scores aren’t set and forget. They change with time. You can register with credit agencies so that they update you with any changes in your score. This helps on the way up and can also get you back on track if it is deteriorating.

5. Stay in touch

A sure way to miss paying a bill is to move without informing the institution you owe of your change of address. When you move, you must ensure that lenders, credit card providers and telcos are aware.

 

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