Your credit score is a small number that can have an enormous impact on your life. From the cars that you drive to the homes that you own, your credit history can open - and close - many doors to opportunity that greatly affect your quality of life. That's why so many are on the hunt for the best way to establish credit. The good news: It's easier than you think! In this guide, we'll walk you through some of the steps that you can take to boost your credit score. With a little research and hard work, your financial future will be brighter than ever!
Building Credit
Additionally, you have a few other avenues to boost your credit score. Credit-builder loans were designed specifically to help new customers build up their credit, so you could check into your credit union or bank to see if this service is offered. If you need extra funds to get your account started, consider services like cash advances to get the ball rolling. You could also pair up with someone who will act as a co-signer or will give you authorized access on their credit card. Just be sure to talk openly and honestly about the terms of the partnership before you sign anything!
Developing Habits
Now that you have your foot in the door, it's time to put your best face forward! It takes dedication to establish your credit history, so stay focused over the next six months. Here are some tips to help you build your reputation with lenders:
- Get into the habit of paying your bills - all bills - on time. Not only are collection agencies a hassle, but they also put a major blemish on your account.
- Don't go crazy with bank accounts and credit cards. Having a few accounts for a longer period of time looks better than opening tons of new accounts.
- Check your credit score for free once per year. This helps you catch any potential mistakes that may pop up.