4 Things You Can Do to Improve Your Credit Score, Right Now

Repair credit score

 One of the biggest worries of hopeful homebuyers is an unfavorable credit score. We all know that the economy has been anything but reliable and the occasional black mark on your credit report is something that brokers and lenders deal with every day.
More serious credit issues can result in a loan denial, so it is important to know where you stand.

At Premier Funding Network, for all clients who choose to get pre-qualified or pre-approved, we will run your credit free of charge and if the numbers come up short, we will help guide you on the path to future homeownership.

1. The first step in credit management is to get a current FICO credit score. This is available free from us as part of the pre-qualification or pre-approval process or from any one of many online credit-reporting services. You’re entitled to a free credit report from each of the three credit bureaus, TransUnion, Equifax and Experian every 12 months through AnnualCreditReport.com. Make sure that any blemishes reflected on the credit report are correct and make sure you look into anything that isn’t valid.

2. Be aware of how the length of your credit history will effect your score. If you have been managing credit for a short time, don’t open a lot of new accounts thinking that this will beef up your credit rating. New accounts will lower the average age of your accounts and can actually lower your credit score if you don’t have a seasoned credit history. Always manage your credit accounts responsibly and open new accounts only as needed.

3. The easiest thing you can do to improve your credit score is to pay down your credit card balances. Keep in mind that you never want to use more than 30% of your available credit limit on any one card or revolving account. If there is a $10,000 limit on the card, any balance over $3000 will reflect badly on your credit score. Sometimes, requesting a higher credit limit on that credit card to lower your utilization rate will help improve your score. But as a rule, pay off your cards as aggressively as possible.

4. Finally, make sure to pay all of your other bills on time as well. Using a calendar to keep day-by-day awareness of when a bill is due can motivate you to keep all of your creditors satisfied and paid on time. Should you miss a scheduled payment, make the payment as soon as possible and keep the account current. The longer you pay your bills on time after a late payment, the more your FICO scores will increase.  

Give Premier Funding Network a call at 714 283-9900 and lets run your numbers and see where you stand. It’s free, and you can depend on expert advice to counsel you on your next move toward the goal of homeownership.