Finding out you have bad credit sucks, but it’s not the end of the world! There’s a lot of things you can do to improve your credit score. It may not take as long as you might think to improve it either.
If you’re trying to give your credit score a little boost, here you’ll discover what you can do right now to make a difference.
Check for any mistakes
It’s easy to assume that your credit score is 100% correct. However, you’d be surprised how many people have discovered mistakes on their file. If you haven’t already, it’s worth getting a copy of your credit report and running through it to see if there are any mistakes present.
Even if just a line of your address is wrong, it can have a significant negative impact on your credit score. You’ll also want to check if you’re still connected to any ex-partners as if you are, their credit mistakes will also be impacting your credit score.
Pay off existing debts
One of the main things that’s going to help you boost your score, is to pay off any existing debts you may have. If your debts are quite high, obviously this isn’t something you can do quickly. However, by taking control now, you’ll be able to start lowering your debt amount. This in itself will help your score as the less credit you’re utilising, the better your score will be.
Use a credit card
This may sound counterproductive, but it’s possible to rebuild a poor credit score with a credit card. You’d need to ensure you’re choosing one that’s suitable for bad credit, then you simply use it to make small purchases which you then pay off in full at the end of the month.
This shows lenders you can borrow responsibly and making payments on time, or early, will help to boost your score. It’s best to compare the different credit cards for bad credit, or use a broker such as Ocean Finance, to find the best one for you.
These are just some of the things you can do right now to improve your credit score. The key is to ensure you’re not missing any repayments and you’re working towards getting your debt levels down. If you are struggling with debt, it’s also worth getting in touch with one of the many free debt advice organisations.