We already brought out the advantages of personal loans in our previous posts. When you want to get one, keep in mind that the credit score will impact the interest rates. How to improve your credit score to get approved for a loan with lower interest?
- Pay your utility bills regularly. This is a good indicator that shows your financial ability. Make sure to set automatic payments or reminders and not miss a payment. Also, pay off your monthly installments. Keep in mind that delays in payments can affect the crest score for seven years. However, the older the payments are, the less they influence your score.
- Don’t turn down your unused credit cards. If they don’t cost much in annual fees, leave them open. Less active accounts mean increased credit utilization.
- Check with the financial institution to verify the accuracy of the report. In case there are any mistakes, submit a dispute to get them corrected.
A good credit score opens your doors to any lending company. This makes you trustworthy in their eyes and assures that you can pay your installments on time. What do you think? Which steps do you take to fix your credit score?