Unless you’re playing golf, a higher number is what you want if there’s a score involved. This is especially true when it comes to your credit score.
Perhaps you’re preparing to buy a home, finance a car, or add a solar energy system to your home. Maybe you simply want better borrowing options. Taking control of your credit is one of the smartest money-related decisions you can make. With a few strategic steps and some consistent effort, you can make a significant impact on your financial health.
At CredEvolv, we’re dedicated to helping people like you achieve your credit goals. Our proprietary tech platform connects credit-challenged consumers with certified, nonprofit credit counselors who provide advice and strategies tailored to your specific situation.
We also help by providing general credit education about a variety of topics. Here we share five actionable tips you can start using right now to improve your credit score.
1. Always make on-time payments
Your payment history is the single most important factor in determining your credit score, accounting for about 35% of it. That’s why making on-time payments is non-negotiable if you want to improve your credit.
- Set reminders for yourself. Use calendar alerts, apps, or automatic payments to ensure you never miss a due date.
- Adopt the mindset that a little is better than nothing. If you’re unable to pay your full balance, at least make the minimum payment. This protects your credit score and helps you avoid late fees. Missing a payment should not be an option.
- Know your due dates. If multiple payments feel overwhelming, contact your lenders to align due dates closer together.
Consistency is key. Every on-time payment builds a positive credit history. Over time, your effort can significantly boost your score.
Your payment history is the single most important factor in determining your credit score, accounting for about 35% of it. That’s why making on-time payments is non-negotiable if you want to improve your credit.
2. Avoid maxing out your credit cards
Another major factor in your credit score is your credit utilization. That’s the percentage of available credit you’re using at any given time. Keeping your credit utilization below 30% is ideal. Staying under 10% is even better.
- Pay down your balances strategically. Focus on paying off cards with high balances first to lower your overall utilization.
- Spread out your purchases. If possible, use multiple cards for smaller purchases instead of one card for everything.
- Know your limits. Keep an eye on your credit limits for all of your credit cards and avoid coming too close to maxing them out.
Reducing your credit utilization shows lenders you’re managing your credit responsibly. This can lead to higher scores and better credit opportunities.
3. Don’t close credit card accounts
You might be tempted to close old or unused credit card accounts. Doing so can actually hurt your credit score. Here’s why:
- Length of credit history. Older accounts help establish a longer credit history, which is beneficial to your score.
- Credit utilization impact. Closing an account reduces your total available credit, potentially increasing your utilization rate.
- Positive account activity. Even unused cards with no balances contribute positively to your credit profile.
If you’re concerned about an annual fee or other costs, contact the card issuer to see if they can waive the fee or change your account to a no-fee equivalent.
4. Limit applications for new credit
Each time you apply for new credit, a hard inquiry is recorded on your credit report. While one or two inquiries may not have a major impact, multiple inquiries can lower your score and signal to lenders that you’re a higher-risk borrower.
- Plan ahead. If you’re shopping for a car loan or mortgage, try to complete your applications within a short timeframe (14-45 days, depending on the scoring model) to minimize the impact.
- Avoid impulse applications. Don’t apply for store cards or other credit cards unless you truly need them.
- Don’t be drawn in by certain offers. Low- or no-interest introductory periods and attractive balance transfer offers might not be worth it in the long run.
Being selective about when and why you apply for credit protects your score and ensures you’re only taking on debt that aligns with your financial goals.
5. Enroll in the CredEvolv platform if you need professional help
Sometimes, improving your credit requires more than just effort. It requires expertise. That’s where CredEvolv comes in. Unlike traditional for-profit credit repair companies that often promise quick fixes and use questionable practices, we offer a better, more transparent solution.
Why is CredEvolv a better choice than a credit repair company?
- Certified nonprofit counselors. Our platform connects you with certified credit counselors who adhere to strict ethical and regulatory standards. These professionals are focused on your long-term financial health, not short-term profits.
- Personalized action plans. Every individual’s credit situation is unique. Our counselor partners create customized plans to address your specific challenges and goals, whether they’re tied to reducing debt, disputing inaccuracies, or simply building better habits.
- Technology that keeps you engaged. In the CredEvolv consumer portal, you can monitor your progress in real-time. This gives you the confidence, accountability, and motivation to stick with the plan.
- Compliance and trust. For-profit credit repair companies sometimes engage in risky practices. The counselors on our platform are fully compliant with federal and state regulations. Your financial success and security are their top priorities.
How do I get started on the CredEvolv platform?
Enrolling in the CredEvolv platform is as simple as filling out a quick online form. After you sign up, we’ll match you with a certified counselor who will guide you through every step of the credit improvement process. With CredEvolv, you’re not just working on your credit – you’re building a stronger financial future.
Start improving your credit today
Improving your credit score is one of the most empowering steps you can take for your financial well-being. Making on-time payments, managing your credit utilization, keeping your accounts open, limiting credit applications, and seeking help on the CredEvolv platform can put you on the path to a stronger credit profile.
Remember, better credit takes time and consistency, but every small step adds up to big results. Take your credit journey to the next level today with CredEvolv. Together, we can make great things happen for you and your family!