5 Tips for boosting your credit score
Easy steps members can take to increase that important number.
We all have lots of numbers to keep track of. There's your Social Security number, your account number, your PIN numbers, and your cell phone number. But there's another little number you may not have given much thought to. It's called your credit score, and it's an important number to keep in mind!
Your credit score is calculated by the major credit bureaus, based on the information in your credit report. These scores are often called FICO scores because they are derived from software developed by Fair Isaac and Company. Many lenders use their own scores, which can include your FICO score as well as other information about you.
The bottom line is – the higher your score, the better. A high score can help you get lower loan rates and faster loan approval. So how do you boost your score?
- Pay your bills on time. It's simple, it's basic, and it's the best way to improve your score.
- Pay off debt rather than moving it around. Cut up your credit cards if necessary.
- Stop opening new accounts. Multiple accounts can lower your score, even if you never use them.
- Request and check your credit report. Make sure it's accurate, and get an idea of where you stand.
Last but not least, ask for help if you need to. Remember, your credit union is always here to provide professional, impartial assistance. We'll do everything we can to help you improve your credit score and enjoy a bright financial future.