Simple Ways To Boost Credit Score

Stay With the Same Credit Account/Product

Another thing you can do to boost your credit is to stay with the same credit account/product for as long as possible. If you get a credit card when you enter college, keep it even when you no longer use that card or need it. It might be a small store card with a measly credit limit of five hundred dollars, but you should keep that account open, as your credit score is largely determined based on the length of time you’ve had open accounts. If you open a store card in 2001 and start your credit history and don’t open another credit account until 2010, don’t close the old account. If you do, you’re removing nine years of good credit history from your account. Furthermore, closing old accounts lowers your available credit limit, which can increase your debt utilization. It makes the debts you do have appear larger than they are when you lower the available limit you have. You’re not required to use those old accounts, but they can keep your credit score looking more impressive than closing them out can.

Keep reading to learn about increasing your credit limit.