880 Walkers Line, Burlington, ON, L7N 2G2, Canada

How To Improve Credit Score In Stoney Creek

How To Improve Credit Score In Stoney Creek

Your credit score has a lot of influence over your financial life. Keeping that score high can be more difficult than it should be for some. If you find yourself in that position, we have some tips to help you improve your credit score in Stoney Creek.


You don’t have to live in Stoney Creek for these to work. They should work for anyone!


Check your credit report


First things first. You need to check your credit report to see your current score. If we are to improve your credit score in Stoney Creek, you first need to know where you stand.


While you have your credit report, check everything for accuracy. Make sure everything on that report is completely accurate and that there are no mistakes anywhere. Even a simple typo can have an inordinate effect on your score.


Correcting any errors or omissions can have quite a positive influence on your credit score.


Pay off debt


A debt to income ratio higher than 30% can have a negative effect on your credit score. Paying down as much debt as possible can help reduce that ratio and increase your score.


Don’t pay off all debt though as it can impact your credit mix. This shows the variety of financial products you use. The wider the mix the more positive its impact on your credit score. The narrower the mix, the less impact it has.


Pay off expensive debt and manage the rest responsibly for the best balance of both.


Always pay on time


Your payment history makes up 30% of your credit score. Making payments on time, all the time can have a hugely beneficial effect. Set up automatic payments or payment reminders and make sure to never miss a payment and watch your score grow.


If you have missed payments, you can recover. Following the advice above should help you develop a positive payment history that can overcome that initial situation.


Use a credit card


Using a credit card can help your credit score. Use one for gas, groceries or whatever you like. Just make sure to always pay off the balance each month to avoid paying interest.


Using a credit card widens your credit mix, contributes towards age of credit accounts and will help build that positive payment history we were talking about earlier.


Say yes to credit limit increases


If your credit card company offers to increase your credit limit, say yes. Just don’t use it. A higher credit limit helps with your credit utilization. The more credit that’s available to you but you aren’t using is a good sign and will have a positive impact on your score.


Make sure to utilize some of that credit though to help with your credit mix.


We aren’t going to pretend that increasing your credit score will be easy or quick. What we will say is that following any or all of these tips will help increase your score over time.


We will use all our skill and experience to deliver the lowest possible Stoney Creek car loan rates, guaranteed. Contact Car Nation Canada Direct to learn how we can help.


Be sure to connect with us on Facebook, Twitter, Instagram, or LinkedIn to stay up to date on our latest great articles!

Categories: Auto Loan

Tags: , ,