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How can you improve your Credit Score?
Your credit score impacts your insurance score. What is an insurance score? An insurance score is based on your credit history. It is used by insurance companies to predict the potential for future losses. This along with other factors determines your insurance premium. Generally speaking, the higher (better) the credit score is, you have a (better) possibily of having a lower premium.
An insurance score includes:
- Payment history
- Bankruptcy, foreclosures and collection activity
- Length of credit history
- Amount of outstanding debt in relation to credit limits.
- Types of credit in sue (mortgages, installment loans)
- Number of new applications for credit
Tips to Improve your score:
- Pay Bills on time
- Manage outstanding balances
- Avoid excessive inquiries for credit reports.
- Limit number of credit accounts
- Review credit report regularly.
- Avoid "quick" credit fixes
- Manage debt consolidation
- Limit new debt
- Establish credit if no long track record exists
- Work with creditors to manage balances
This could be a good start to repairing or a way to maintain during this holiday shopping season! |
