7 Ways To Improve Your Credit Score

It can be difficult to try to improve your credit score if you are unsure where to start. Find out below these 7 simple steps that will help you to improve your credit score and get out of debt.

Improve Your Credit Score

Millions of Americans have bad credit or no credit. People file bankruptcy every day. It is extremely important to have a good credit score. Here are a few tips that can help you to improve your credit score.

Improve Your Credit Score:

1. If you haven’t already, get your credit scores from all 3 credit bureaus and begin to monitor them every few months so you can see improvements as they are made.

Improve Your Credit Score

2. Anything that is past due, start to pay off, from the smallest balance to largest balance. Within a few months you should begin to see an improvement in your credit score.

3. Do not open any new credit cards if you are already have credit card debt. You don’t want the capability to increase your debt further.

4. Pay more than the monthly minimum whenever possible on your current credit card bills, if you can, pay them in full. The best thing to do is pay your balance in full every month, which is not always possible. So, pay the most you can each month even if it is only a little bit extra.

5. If you have multiple credit cards with small balances, pay them off and then pick the 2 cards with the best terms and use those as your go to credit cards. Get rid of the others. Making multiple purchases on multiple cards can hurt your score even if you never miss a payment.

Improve Your Credit Score

6. Use cash as much as possible. If you have a hard time controlling your spending, put your credit cards in a ziploc bag of water and keep them in the freezer so you can’t impulse shop.

7. If you do not have any credit cards at all, get one. Use it occasionally and pay the balance immediately. You may also look into getting an installment loan to begin building a positive credit history.

It may seem hard and feel very overwhelming, but there are ways to improve your credit score and get out of debt. Begin with these small changes. As you start to see the improvements, they will motivate you to keep building your credit.

Take a look at our Free Monthly Budget Template to help you get started on creating your family budget.

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Also, make sure you checkout the Frugal Fanatic Facebook page and follow us on Pinterest for DIY projects, recipes, money saving tips and more. What family budget ideas do you have, please share in the comments below.

This Post Has 6 Comments

  1. Ok, I did get one credit card after not having one for a very long time because my credit was bad. So I thought, good I can recharge my credit by using only one. Ok, sadly enough, I did so well on spending 30% of the credit line and paying it off my credit line was raised. Needless to say the “spend only 30% of the credit line” went right though the window and now, I owe 1\3 of the credit line and…and I was late on my minimum payment tacking on a $25 late fee.
    Is there hope for me to get my cedit back or should I throw in the chips?

    1. Eileen,

      Don’t feel bad. It happens to a lot of people. I used to work in banking and 95% of the people who get a credit card to build credit fall into that trap. The programs are designed to make people fail. They know exactly what they are doing! Don’t give up hope. I’m a single mom who lives well on $18k/year. I have a wonderful life, though everyone says I’m in poverty, and I have no debt. I get to work from home and it’s fantastic. If I can do it, you can too! Addi is right, don’t throw in the chips! 🙂
      Sarah recently posted..Does God Really Care About Your Money?My Profile

  2. These are great tips for improving your credit score! Having a good credit score has many benefits to it, such as getting better financing interest rates towards car loans and/or a house loan. This was very helpful, thanks for sharing!

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