3 Top Tips For Credit Repair

Improve Your Credit Score Now

These are my top three tips for increasing your credit score quickly. By using these tips, you could save hundreds, maybe even thousands of dollars in interest paid on credit cards, mortgages and other loans. What are you going to do with all that extra dough?

Tip 1 - Open A Bank Account

I know this sounds too simple but opening a savings and/or checking account can be a real boost to your credit score. Many banks offer these accounts free of charge. They will show up on your credit report and demonstrate that you know how to handle your money.

Ask if there is a minimum deposit to open the account. Also, check if the bank requires you to maintain a minimum balance. If so, this could cost you some fees if you let the balance get below the minimum.

Tip 2 - Pay All Your Bills On Time

Even having one late payment listed on your credit record can cost you percentage points when you apply for loans and credit cards. Make sure you pay everything on time. That includes cell phone service bills, department store bills and cable bills. Even if you only pay the minimum, get that payment in on time.

This may take some extra effort to get organized but it will really pay off in the long run. I mark all paydays on my calendar and then make an appointment with myself in my calendar or planner to write checks or schedule online bill pay 5-7 days before each payday. That way you won't forget and have to scramble to get your payments out on time.

Tip 3 - Close Those Old Credit Accounts

Remember, you are painting a picture of credit worthiness. Having lots of old accounts hanging out there with a zero balance shows that you are not keeping track of your credit. Lenders count all these open accounts as available credit that you could run up at any time and then not be able to make payments.

Call the 800 number on your old bills or go to the company website and ask customer service to close your account since it has a zero balance and you are not planning to use the account again. This will be listed on your credit report as an "account closure requested by customer." This is a positive statement showing good credit management.

Don't underestimate these steps. They may seem oversimplified and too easy. Make a few phone calls and visit the bank. You'll be so glad you took the time to make these small changes. Big changes come from making many small corrections. Here's to your good credit!


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