The Fastest Ways to Build Credit and
Improve Your Credit Score
An 850 perfect credit score may seem like a long way away. But it's achievable, and you could get on your way to better credit today.
Unfortunately, there's no hidden secret among the fastest ways to build credit. The trick is to play by the rules. However, these tips can see your credit score grow by as much as 100 points in only a month.
Fix Credit Report Errors
Credit report mistakes and errors damage your credit score for no reason. Some of the common errors include flagged late payments that you paid on time or old negative information.
All you need to do is dispute those errors and ask your credit bureau to remove them. They may remove them, no questions asked, or they may investigate. Either way, they only have 30 days to get back to you.
Ask for a Credit Limit Increase
A credit limit increase automatically lowers your debt-to-income ratio, which in turn raises your credit score.
Choosing a credit limit increase is a savvier way to increase your credit score than opening a brand new card. Why? Because your card provider won't run a credit check and ding your credit report for asking.
If you're just starting with your first credit cards, consider using Bonsai Finance to find a card that offers an automatic credit limit increase over time with good behavior. Then, it's automated, and your score will go up automatically. Just remember not to spend it the first day you get it.
Pay Your Bills More than Once a Month
It can be hard to come up with payments on the due date, so why not take a different strategy?
A simple way to pay down balances and improve your credit score is to make multiple payments a month. For example, if your minimum amount is $60, try paying $20 a week each week. It's less taxing than the lump sum, and you'll pay off an extra $20.
You're less likely to miss $20 a week than you are $60 on the due date!
Pay Down Your Balances
If you have a high debt-to-income ratio, then you will struggle to bring your credit score back up. Getting a credit line increase is a good start, but the priority should be paying down your balances in a meaningful way.
Ideally, you should use your credit card in a way that allows you to spend and then pay off the balance in full every month. It may sound far away now, but deciding to pay down balances meaningfully can dramatically change the way you feel about money.
Learn More of the Fastest Ways to Build Credit
A better credit score could be closer than you think. What's more, there's no secret to achieving good credit. You don't need to pay anyone or buy a credit card. The fastest ways to build credit come through diligence and responsibility.
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