Here are tips to show you how to improve your credit score, no matter what its current position is. We’ll cover what a credit score is and how it can affect your life – everything from getting new cell phone service to paying for higher education.

Tips to Improve your credit score
1. Pay your bills on time

Paying bills on time is the easiest way to improve your credit score. If you miss payments, the negative mark will sit with you for 7 years and make it difficult to secure a loan in the future. Always pay on time and in full to avoid any late fees or penalties.

2. Apply for new credit sparingly

Your credit should be established enough that you don’t need to seek out new lines of credit to maintain your score, but if you must apply for a new card, then do so sparingly. A new card can cause a big score dip, so if you’re just getting started forming credit, then start off slow and look for rewards cards that can help build your credit score.

3. Pay down your debt

The more debt you have on your credit card, the lower your score will be. Even if you pay your bills every month, a high balance of debt will weigh down your overall score. Make sure to pay off any large balances at the end of each month – this will show lenders that you’re responsible with money and can help improve your score.

4. Get a secured credit card

When you apply for a secured credit card, you put down money to secure your line of credit. This will lower your credit score as long as you use the card responsibly and pay it off every month. So if you’re looking to improve your score, then getting a secured card can be beneficial because it builds up your ratio of debt – good for your overall FICO score. Just make sure that the secured card isn’t an annual fee, which would hurt your overall FICO score more than it helps.

Bottom line

A low credit score can hurt you in ways that you can’t even fathom, but knowing what a credit score is how to improve your credit score will benefit you in so many areas of your life. If you’re planning on applying for a new line of credit or even buying a house, then it’s important to keep an eye on your score.