What would happen if you needed a loan today… would you be approved? Your credit score is used by 90% of lenders to make a yes/no decision on a credit application. The credit score calculation is based on five criteria; payment history, utilization, length of time of credit, inquiries, and variety of credit.
Payment history has the biggest impact on the score calculation with a 35% weighting. Utilization (credit card balances) has the next biggest impact on the score calculation with a 30% weighting.
How Can I Increase My Credit Score?
There are several ways you can increase your credit score without using a credit repair company. You can improve your score by taking small actions that have big results.
Make your payments on time, every time. There is a 24 month historical record that both the credit score and the banker takes into consideration, so it’s important.
Do not carry a balance on your credit cards. If you have to, there are specific balance thresholds that once met, credit score points will be awarded. If you meet these target points on all of your credit cards your credit score will increase significantly.
Your credit score is calculated using the information found on your credit report. Ensuring that the information on your credit report is correct will have a positive impact on the credit score calculation. Some information is more important than other information. Do you know what is and is not important? I can help you with identifying what you need to pay attention to when looking at your credit report.
I have a recorded presentation that will provide more detail. If you are interested, the link is provided below. Personalized coaching is available, please contact me if you would like assistance. Rex Bohachewski Former Banker On Your Side.
Presentation link: https://us02web.zoom.us/rec/share/rhgPaZW79bte0aMR52m-SAXmTsLkR9iFOxDNfISiVfzxtlLeR5QksPW58SIoG6lh.kcebKgqAXnXM-sOg?startTime=1712446513000
Passcode: PViU!4@E