We have a few things bad on our credit, how do we figure out what to pay off first. We need to raise our scores by about 100 points. Any advice would be helpful. Thank you
Answer1:get a credit card/gas card, use it once or twice a month and pay it off completely every month..everything counts
Answer2:Pay all bills on time, its the only way. Sounds so easy, huh? Wish I could do it.
Answer3:Definitely pay all of your bills on time - on-time payments are 35% of your score. 30% of your score is your debt-to-credit ratio, which is just how high your balances are compared to your credit limits, across all accounts. Since its across all accounts, it wont matter what you pay off first, as long as youre paying something off, and improving that ratio. Since it doesnt matter, pay off whatever has the highest interest rate first - that will give you more money in the long term, which will help you pay off the other stuff faster, which will improve your score faster!If you have a credit card that youve been really good about (never made a late payment or anything), you can try calling them and asking them to increase your credit limit. This would improve that debt-to-credit ratio, but theyll probably only agree to it if youve been an exceptionally good customer.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment