Increasing Your Credit Rating

Duran Mueller
Apr 1, 2007
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Have you ever thought about how many people in our country don't have a perfect credit score? You will surely be surprised to know that over 30 million Americans have a below average credit score. Boosting your credit rating takes some work. There is no quick fix to increasing your ratings. Repairing any damage takes time, but it also does not spell doom!

So what is credit rating anyways? It is a number given to assess and reflect your creditworthiness. Your credit score will be a number valued from 300 to 850. While numerous factors can be attributed towards this rating, your payment and debt history are more important than others.

To start with, you shall need a copy of your credit report. If everything in the reports is good, then you can be rest assured that you will have a good credit score. Getting your credit reports is easy and pain free. Actually you are permitted one free copy of your credit report, every year. In order to get your copy of the report, just contact anyone or all the three national consumer credit reporting agencies as given below:

1. Equifax: 1-800-525-6285, www.equifax.com, P.O Box 740241, Atlanta, GA 30374-0241

2. Experian: 1-888-EXPERIAN (397-3742), www.experian.com, P.O Box 9532, Allen, TX 75013

3. TransUnion: 1-800-680-7289, www.transunion.com, Fraud Victim Assistance Division, P.O Box 6790, Fullerton, CA 92834-6790

Get your free copy of your credit report by logging on to www.annualcreditreport.com or call them on 1-877-322-8228. Please note that www.annualcreditreport.com is the only website which is legally authorized by the credit rating program to provide you with your copy of credit report, free of cost.

Equipped with the score, it is now easier for you to work towards improving it. The thumb rule for having a good credit score is to pay all your bills regularly. When you pay your bills on time, you increase your credit rating for future. This is for sure, the easiest and most simple way to boosting your credit scores!

Another good way of improving your scores is by paying off some of the bad debt you may have accrued. The less money you owe people, the better your credit rating will be. Once you have a zero balance on your card, wait for at least a month. Even though you may have paid off the entire balance on your card each month, this will only get reflected as a balance which gets reported to the Credit Bureau, a little later.

Remember, your current history is far worthy than your past credit history. Also missing payments, means increased credit card interest rates. So pay your bills on time, every time!

So pay your bills on time, and work hard towards reducing your debts. These are the two easiest and simplest steps to give your credit scores a boost!