Some people go a lifetime striving to hit a hole-in-one in golf or bowl a 300-game. It might surprise you that some folks are reaching for an 850 credit score.
It can be done -- try some of these suggestions to improve your score:
+ Know how your FICO score is calculated. FICO (stands for Fair Isaac Corporation), the Minneapolis-based company that created the credit score model, considers five elements when calculating a score:
1. Payment history
2. Amount owed
3. New credit
4. Amount of available credit
5. Types of credit used
Check your score on a regular basis to see how you stack up in each of these categories.
+ Check your credit report. Everyone is entitled to a free annual credit report from each of the three main credit bureaus. Request them online from
annualcreditreport.com, and report any errors directly to the report provider.
+ Keep balances low. Charge less and avoid maxing out your available credit.
+ Pay on time. Making timely payments is the Number 1 way to improve a credit score. Payment history accounts for 35% of the FICO score.
You may not be aiming for an 850 score, but following these guidelines can certainly give your current score a nice boost!
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