Improve Your Credit Score!
Post date: 7/1/2021
Availability and special terms subject to change.
Don’t worry if your credit score needs work today; you can always take steps to improve it. And now, you can track your score right in our Mobile App!
First and foremost? Make on-time payments every time. If you have too much debt, cut up your credit cards and take steps to reduce your credit balances.
Your score is also comprised of several components. When you learn what goes into your score, it’s the first step to improving it.
Bolstering your credit score:
Use our mobile app: Our mobile app shows your current credit score. What a great way to stay on top of your financial position.
See where you stand: You’re entitled to a free credit report annually from each of the major credit-reporting agencies or visit www.annualcreditreport.com. Check your report for errors. These can be costly and bring down your score. If you’re unsure how to read your report, visit First United Credit Union. We can review your report with you and explain the details.
Correct errors: If you find errors, visit www.FTC.gov for the steps to take. It is imperative to fix mistakes quickly – they can be damaging to your credit score.
Pay your bills on time: Take advantage of our electronic tools – like online bill pay, mobile banking, alerts, and automatic debits. These services will help ensure your bills are paid on time. Also, stay on top of your bills and monthly expenditures using tools like Online and Mobile Banking. Use whatever system that works for you – even the notes on your fridge if they work – to keep you attuned with all your due dates.
Keep a balanced credit portfolio: One key is to not tap into all of your available credit and keep open a portion of your line. Also, borrow only from lenders you trust, like First United CU, while maintaining a blend of secured and unsecured loans on your portfolio.
Other items that impact your credit score include:
- The amount of your debt.
- The length of your credit history.
- Outstanding applications.
- The types of credit accounts you hold.
Avoid scams: There are fraudsters out there that may claim to repair your credit for a fee. Unfortunately, there are no quick fixes or tricks that produce immediate results. You can repair your credit yourself – for free –but it takes time, patience, and diligence.
Contact us. We can advise you on how to improve your credit score. We can also assist you in establishing online bill payments and alerts. If you feel overwhelmed by debt, contact us immediately. We are always here to help!
Regularly checking your credit report is an excellent step.
When did you last review your credit report? If it’s been a while, it’s a good time to take a look since it connects just about every aspect of your financial life. It can affect your ability to get a loan or credit card at a fair rate. With poor credit or errors on your report, it can be challenging to buy a home, rent an apartment, or even find a job. Reviewing your credit report can also help you to check its accuracy and prevent identity theft.
How your credit history begins:
When you apply for a credit card, personal loan, car loan, or even insurance, your information is recorded and stored in a credit report. This file includes many other details – where you live, work, how and when you pay your bills. Your legal background is also part of the report, for example, if you’ve been sued, arrested, or filed for bankruptcy.
The companies that collect and provide (sell) this information – your credit report – are called Consumer Reporting Agencies, often referred to as credit bureaus. The three major U.S. consumer-reporting agencies are Equifax, Experian, and TransUnion.
At First United Credit Union, we can sit down with you to review your report. We can help answer questions and provide tips to correct errors or improve your score. The best way to keep your score strong (and deter fraud) is with knowledge.
Source: GreenPath Financial Wellness