Best Ways To Build Your Credit Fast
Before we dive into how we can build your credit, and the fastest way to do so. Let us make sure that you fully understand credit and how it works. Your credit score is a number that lenders use to help them choose how likely it is that you will repay them. If your credit history is not where you want it, then this guide will help you fix that. The best ways to build your credit fast are not secrets. Most people know that it takes longer to build your score than it does to wreck it. It is very easy to damage your score, but improving it is another story. Improving your score takes time so the sooner you hop on board repairing or building it, the better. Your credit score allows you to get approved for loans, cars, houses, etc. Which basically means that unless you are rich and have a ton of cash, then you better have good credit if you don’t want to struggle. Let’s jump right into it, here are a few steps that will help you build your credit fast:
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Pay your bills on time. Payment history is the biggest factor that affects credit scores and if you make late payments, they may stay on your score for seven years.
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Make sure to ask for higher credit limits. You want to increase your balance while lowering your utilization. This can improve your credit.
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Be aware of credit report errors. You can sometimes dispute errors on your credit report, thus increasing your score.
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Don’t close credit cards, always keep credit card lines open, closing these cards can make it harder to improve scores.
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Use a secured card. A secured credit card is another method that can build credit well. This card is backed by a secure upfront deposit, which then ends up being your credit limit.
Summary
Building your credit fast isn’t really a thing. Yes, there are faster ways that you can build your credit. But the process is time-gated. Credit card companies take time to report your payments and depending on who you check your credit with, they can too. FICO and Credit Karma are some of the biggest names in the game. Both companies can be used to check your current credit score. Be sure that when applying for credit it is necessary. If you just go around applying for a bunch of loans for things you want, you are further damaging your score. Pay off any collections or charge-offs and use credit as a necessity or last option. This doesn’t however mean not to use your credit score. It is important to have a credit card and make on-time payments to your credit card company. This shows them that you can make payments and also maintain having debt. Hopefully, this guide on the best ways to improve your credit score fast was helpful. We do have over a decade of experience providing loans for successful rehabs, refinances, purchases, and new construction projects, contact us today at (832) 879-9055!
