With a perfect credit score, getting competitive interest rates on credit cards, mortgages, and interest rates will be much easier. Here are five tips you can use to achieve that stellar credit score you’ve always wanted.
Pay Your High-Balance Credit Cards Down
The first thing you should do is consider paying down your high-balance credit cards if you want to boost your credit score as fast as possible. Every credit card you get will have a credit utilization ratio, some of which can carry high balances and put a dent in your score.
As a result, you can see your utilization ratio drop when you pay off your high-balance credit cards.
Make Multiple Payments Each Month
Another great way to improve your credit score is by paying your bills off on time. One of the best ways to minimize your credit balance before your statement’s closing date is by paying your bills more frequently over the course of the month. If done properly, you can lower your credit utilization ratio, which will have a positive impact on your score.
Set Up Automatic Bill Payments
When you automatically pay off your loan accounts and credit cards, you can improve your credit score significantly. Each payment that you miss or pay late can negatively impact your score. One of the reasons people set up automatic bill payments is so that they never forget to make their payments on time. If you want to prevent interest rate increases, penalties, and late fees, this is one of the best ways to do so.
Transfer Your Balances To a Lower Interest Rate Card
You may consider transferring your credit card balances to a lower interest rate credit card. Of course, in order to qualify for this kind of credit card transfer, you must have good credit in the first place.
Lower interest rate credit cards typically have 0% APR balance transfer for the first couple of months. Prior to making your balance transfer, you’ll want to ensure you can pay your balance off before the end of the introductory period. If you’re unable to handle another credit card, this may not be the “hack” for you.
Pay Your High Interest Balances Off First
Focus on paying your balances with high interest off first. Doing so will help you save money, which you can then use to pay your debts off faster. The idea here is that you can work your way from high-interest credit cards to low-interest credit cards. Many people refer to this method as the “debt avalanche” method.
Final Thoughts – Achieving That Perfect Score
As the cherry on top, you may consider adding tradelines to your credit score to get it where you want it to be.
If you’re looking to increase your credit score, get in touch with us here at Personal Tradelines to see what we can do. We’ve helped introduce thousands of customers to the beauty of purchasing tradelines for sale, securing positive financial futures. We look forward to hearing from you.