Let’s talk about the steps to improve credit today. Your credit score is what determines whether or not you are eligible for a loan or a credit card.

• Pay your bills timely.
• Only apply for credit accounts when needed.
• Keep your unused credit cards open.

It is no secret that the last two years have been pretty tough for businesses that are looking for capital. For those of you who don’t know, your credit score is essentially a three-digit number that is used by lenders to inform them of your re-payment behavior.
By checking your credit score, lenders gauge whether you will re-pay them on time and whether or not they should grant you a loan or a credit card. Therefore, the credit score is definitely an essential factor to consider in your financial life.
This also means that the higher the score, the better your chances will be to qualify for credit cards and loans at the best and most favorable terms. This credit history will also help you save a ton of money every month.

If you have been wondering how to improve your credit score fast, this article is just for you.

We share with you some guaranteed ways to improve your credit score. Our 4 Simple Steps to Improve Credit:

Pay Your Bills Timely

Timely bill payment is one of the easiest ways to improve credit score. When you pay your bills reliably, it translates into good future performance in this arena.
This is why lenders are very interested in your credit score to understand just how responsible you are when it comes to paying your bills. Your credit score is, therefore, significantly influenced by timely bill payment.
This does not just include credit card bills, but also student loans, phone bills, utilities, rent, etc.

Get Credit for Timely Mobile and Utility Payments

You can also improve your credit score by using a free product named Experian Boost. Using this product, consumers can allow it to connect their bank accounts to identify their bill payment history.
This will also help them get credit for making different kinds of utility payments on time.

Keep Credit Card Balance Low and Pay Off Debt

Credit score calculations are also influenced by the credit utilization ratio. Generally, lenders prefer a low ratio that is 30% or less.
This means that people who have one of the best credit scores, usually also have a low credit utilization ratio.
Therefore, you can influence this ratio by keeping the balance of your credit card low and paying off debt in a timely manner.
You can also consider becoming an authorized user of the account of another person.

Keep Unused Credit Cards Open

Finally, you should not close your unused credit cards. Remember that as long as you are not spending money on these unused cards in annual fees, it is a good strategy to increase your credit score.

Conclusion

Improving your credit score or maintaining a good credit score is not as challenging as it sounds. Simply be consistent and make timely payments to succeed.