9 Simple Ways to Improve Your Credit Score

Buying a house? Here are some tips for improving your credit score.

When Bank of St. Francisville works with borrowers, the first step in the process is to take a look at your credit score. Anyone who has ever had a loan or credit card and has paid on it monthly has one. Scores are kept by three different credit reporting agencies, and when you buy a home, the median score is usually used.

“Don’t let the idea of a credit score intimidate you,” says Kellye Cornette, BSF Vice President of Mortgage Lending. “We’re here to help explain it and show you how to achieve the best score possible.”

  1. Credit scores can change on a daily basis. Be sure to check yours regularly through free online services like CreditKarma.com.
  2. Don’t be late on payments, especially mortgage payments and car notes. This has a big impact on your score.
  3. ‍Set up autodraft payments to avoid being late on monthly bills.
  4. ‍If you’re considering buying a home, avoid adding to your debt ratio by making large purchases beforehand, like a new car or boat. Make those after you are settled into your new mortgage payment.
  5. ‍Keep one credit card rather than several.
  6. ‍It’s better for your score to have borrowed money from a bank than a payday lender.
  7. ‍Don’t max out your credit card and leave it maxed out. Demonstrate you can pay it down, or better yet, pay it off each month.
  8. ‍Save as much money as you can for a down payment and closing costs.
  9. Don’t get discouraged if you’ve made credit mistakes in the past. It may take a year or two, but credit profiles can be significantly improved.

Want help finding out your credit score and learning how to improve it? Talk to Kellye.

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