How can i raise my credit score

There is no guaranteed cure for a poor credit score; however, the best and most efficient way to improve your credit report is to make your payments on time

In order to increase your credit scores you want to really focus on your balances on your revolving debt such as credit cards, home equity lines of credit and such. Your ideal target is to keep your balances at approx. 20-40 percent of your available credit limits. Being maxed out on your credit scores can be very detrimental to your credit score even if you continue to make all of your payments on time.

If your credit score is low, look at what is causing this. Review your entire report and note any incorrect entries. If you have any incorrect information reporting, contact the credit bureau and work on getting it fixed.

Apply for credit less frequently. Large numbers of inquiries will likely lower your score.

If you do pay off a credit card, be sure to keep the account open. When computing your credit score, the bureaus love to see accounts that have been open for an extended period of time, and have a zero balance.

One way to increase your credit scores is to request a limit increase on all of your credit cards. A higher credit limit can raise scores because the "available credit to maximum credit" ratio is reduced. Generally, credit card companies will allow you to increase your credit limit every 6 months.

Check to see if you have any errors on your credit report. Also, if you have any collection charge, negociate with the collection company to see if they will take off the record if you pay them off the charge at a discount price.

Check the balances on your credit cards. If you have balances at or exceeding your credit limit, your credit score will be compromised.

» DISCLAIMER: The information contained in this article on 'How can i raise my credit score' is a collection of contributions by licensed mortgage professionals and is not the opinion of Broker Outpost LLC. Always consult a licensed professional before applying for a mortgage.