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Improving your credit score can take time and effort but it can be well worth it in the long run, Here are some tips to help you improve your credit score:
1. Pay your bills on time: Payment history is one of the most important factors that affect your credit score. Late payments can have a negative impact on your score. Make sure you pay your bills on time every month. 2. Reduce your credit utilisation: Your credit utilisation ratio is the amount of credit you're using compared to your credit limit. If you're using a high percentage of your available credit, it can have a negative impact on your credit score. Try to keep your credit utilisation ratio below 30%. 3. Check your credit report: Your credit report contains information about your credit history. Make sure all the information on your report is accurate. If you find errors, dispute them with a credit reporting agencies. 4. Increase your credit limit: if you're using a high percentage of your available credit, you can trying asking your credit card issuer to increase your credit limit. This can help improve your credit utilisation ratio. e.g. limit $5,000 using $4,000 per month = Ratio 80% * increase the limit to $12,000 still using $4,000 = Ratio 33% 5. Don't close old credit accounts: Closing old credit accounts can actually hurt your credit score. Keep your old accounts open, even if you're not using them. 6. Apply for credit sparingly: Every time you apply for credit, it can have a negative impact on your credit score. Try to limi the number of credit applications you submit. Using a personal loan broker will stop the number of times your file is touched. 7. Consider a secured credit card: If you have poor credit or no credit history, a secured credit card can be a good way to build credit. With a secured credit card, your'll need to make a deposit that serves as your credit limit. |
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Remember that improving your credit score take time and effort. Be patient and consistent in your efforts, and you'll see your score start to rise over time.