How To Improve Your Credit Score!

Want an 800+ credit score? 

Then make sure your history looks like theirs.

In November 2009, only 13% of Americans had credit scores over 800 according to findings by credit reporting agency Experian. And only .5% held the elusive “perfect score” of 850. By mimicking the credit behavior of these over achievers, you can certainly take steps to raise your score to a new high.

• No late payments for the past seven years.
• No bankruptcies, foreclosures, or collections.
• No more than 30% of your available credit in use on any account – 10% is better.
• No more than six credit cards.
• Mix of revolving credit and fixed credit with good payment history.
• Long histories for each account – ten or more years with at least two with 20 years or more.
• Low number of “hard” credit inquires – fewer than three in the last six months if  you’re applying for a loan.

“Hard” credit inquiry happens when you initiate a credit application and a business checks your credit. “Soft” inquires are made for employment, preapproval offers, and some government agencies and don’t affect your score.

Check and monitor your credit score every year. This is a good practice to prevent or stop identity theft and will keep you in touch with your progress.