Improving your credit score is possible with both hard work and commitment. While it won’t happen overnight, using a strategic approach can consistently raise your credit score and improve your credit opportunities. The team at Joe’s Auto Sales recommends following these four steps to improve your overall credit score.

4 Ways to Improve Your Credit Score

1. Make Payments on Time

One of the first steps you should take is to begin paying all of your credit and monthly bills on time. Payment history influences credit scores negatively with missed or late payments, or positively with consistent payments made on time. Try not to miss a payment by more than 29 days, as bills that are 30 days late may show up on your credit history.

2. Get Current on Past-Due Accounts

Another way to improve your credit score is to work on bringing all your past-due accounts current. Not only can this boost your credit score, but it can keep you from being hit with late fees. If you’re struggling to get current on past-due bills, consider contacting a debt relief company. They can help you create a debt management program and can also advocate on your behalf with credit companies for lower monthly payments or interest rates.

3. Prioritize Paying Down Revolving Accounts

Revolving accounts consist of credit cards and lines of credit. In cases of poor credit scores, these accounts typically have high balances due to high credit utilization rates. As you lower the balance of these types of accounts, you will see a corresponding improvement in your credit history.

4. Reduce the Amount of New Account Applications

In addition to the three steps above, try to limit the number of new credit accounts for which you apply. Each time you fill out a credit application, a hard inquiry is recorded on your history. One hard inquiry won’t affect your score much, but as they add up, it can negatively and exponentially affect your credit score.

We Approve Bad Credit Auto Loans

If you’re currently working on improving your credit score, but need more time to reach your goal, consider taking advantage of our bad credit car loans. We specialize in helping customers rebuild their credit with our affordable payment and service programs. Contact us today at (317) 405-8545 at our East Indianapolis location. We serve Avon, Danville, Speedway, Plainfield, Clermont, and all nearby Indianapolis communities.

Source: “How to Improve Your Credit Score.” Blog article. Experian. Web. 23 Mar. 2023.