Best ways to raise your credit score 200 points

Mike Riddick
Aug 25, 2017 · 2 min read

Hey there, you’re taking the right steps in trying to understand your credit score and improving your financial health. By the time you finish reading this article you’ll have an inside look at some simple habits to boost your credit score. Hopefully, you’re consistent and have the same experience to move up 200 points as I did. Out of college I had it pretty hard with my credit score being around the low 500’s. From missed payments, late fees, and being denied; I’ve seen the dark side of ‘BAD CREDIT’.

Low credit comes from a number of bad financial transactions but let’s focus on the come-up.

First steps, I literally took to boost my credit score 200 points.

Build trust and credibility by getting a secured card. Research some banks of your liking. I used Bank of America with $300. I made sure I didn’t put any more than $150 on the card (ideally, 30% or less instead of %50 of the card max). I paid back each month on time and in full. Do this for a year and you’re likely to get a line of credit for the same amount from the bank.

Know your debts

Nothing is worse than getting a bill in the mail saying, ‘Take action now’. Make sure you know where you stand with all companies that have access to your personal information that can affect your credit.

If you owe it, pay it. It’s real simple. It’s quicker to pay on time than to dispute with customer service.

Emergency Fund

You may not have the best budgeting habits but you can take precautions against being caught off guard. Dave Ramsey offers good advice on this “Save $1,000 fast” then hide it because you should think of the emergency fund as the last resort. It’s not a matter of “If A Rainy Day Will Come, But When.”

Never ever miss a payment.

Real simple. If you take a ding by missing a payment it’s gonna take you months to recover. Don’t risk it. Automate your payments! Auto pilot is lovely.

Be consistent for months and don’t just pay monthly minimums.

This is not a sprint, it’s a marathon. You’ll see some good jumps after your 1st year, if you follow these first steps.

Don’t forget you are borrowing money and with that comes interest. Paying the monthly minimum is hurting you in the future. If possible $0 is the best policy. Make plans to get there.

Follow these simple rules while monitoring your score and you can get the credit score you desire. It takes time but that’s the goal: Financial stability.

Like this article if it helps you and share with friends! If you have other helpful tips please share a comment.

Regards,

Mike Riddick

Connect with me…

www.mriddick.com

Twitter/Instagram: jus_mike

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Mike Riddick

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Creative engineer looking to share a few good ideas. I help people automate days. Done App - http://bit.ly/2wOprf7, www.mriddick.com, and www.shinephotoapp.com

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