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6 More Ways to Improve Bad Credit
Having a bad credit score is bad news.
It can make it more difficult for you to get a mortgage to buy a home, harder to qualify for low-interest rates, and even impossible to get any form of credit in some cases.
Not only that, but if you go for a job in the financial industry, your poor credit score could prevent you from being hired to certain positions. So if you have bad credit, it’s critical for you to find a way to restore your credit. But how exactly do you bounce back from bad credit?
Here are a few things that will help…
Knowing It’s Possible
First of all, if you want to bounce back from bad credit and rebuild your score, you need to know that it is possible.
Many people don’t even bother trying to improve a bad credit score because they think it will be impossible, but this is not the case! Sure, it will take some hard work and dedication, not to mention a few tough financial decisions. But if you’re determined, you could be back on top in 3-7 years.
Remember: bad credit doesn’t stay on your file forever!
Severing Links with Others
If you have joint accounts with other people who have bad debts or poor credit scores, they could easily be bringing your own score down. Severing financial links with them could be a way to improve your credit score and keep your future credit clean.
Using Credit Carefully
This might sound counter-intuitive, but if you take out a poor-credit-score credit card or cigno loans when you have bad credit, and you use that card responsibly, you can improve your credit. This action shows lenders that, although you have struggled in the past, you are getting things back on track and using credit more responsibly now.
It may take some time, but eventually, this will pay off with a better credit score.
Paying Bills On Time
Essential bills like your utilities and even your internet connection have to be paid, and by paying them on time, you show lenders that you can manage your money responsibly. This means they are more likely to lend to you in the future. Set a reminder if necessary.
Requesting Good Will Deletions
They won’t always do it, but it’s worth asking creditors and credit reporting agencies if they would be willing to delete late bill payments and other minor infections from your credit report as a gesture of goodwill.
It could remove black marks from your record to instantly improve your credit score.
Avoiding Online Quotes
Many people don’t realize that getting online quotes for insurance or other financial products requiring a credit check can actually lower your their credit score by a few points. Online quotes requiring a review of your credit often count as a “query” of your credit score, which can slightly lower your score.
Only get online quotes if you truly need them.
It’s a long road, but good credit is possible even when you’ve reached your lowest point financially. Work at it, and you will see results.
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