SeaComm Federal Credit Union OFFICIAL BLOG

Five Ways to Improve Your Credit Score

There is no quick and easy way to dramatically boost your score over a short amount of time, but you can take steps to increase your credit score gradually. Here are five ways you can start improving your credit score today.

1. Pay your bills on time

Your payment history is the single most important factor in determining your score. A missed payment can significantly impact your score and it can take months to recover the loss. Start paying your bills online with SeaComm’s free Online Bill Pay Service! Click here to get started.

2. Reduce your credit utilization ratio

Another crucial factor in your score, your credit utilization ratio refers to the amount of available credit you use. It’s best to keep your utilization under 30%, or even 10% if you can swing it. This means, if you have $20,000 of available credit, try to keep your usage below $6,000 at most.

3. Use your cards

A great way to make sure you use your cards on occasion but don’t overspend is to charge fixed expenses, like monthly subscriptions, to your card. Just be sure to pay the balance in full before the credit card bill is due.

4. Look for errors on your bill and credit history

A fraudulent charge on your credit card can bring down your score without your knowledge. That’s why it’s important to check your statements each month and to look for charges you don’t remember making. If you see anything suspicious, contact the credit card issuer immediately to dispute the charge. It’s also a good idea to get your free credit report once a year from annualcreditreport.com for a more comprehensive look at your credit usage and signs of possible fraud. 

5. Work to pay down outstanding debt

Whether you are carrying credit card debt or student loans, one of the best ways to pay them down sooner is to make more than the minimum monthly payment. Free up some cash each month by trimming your spending and restructuring your budget. If you are trying to pay off several high-interest debts and you find it difficult to manage them all, you may want to consider consolidating your debts into one loan. A personal loan from SeaComm can provide you with the funds you need to pay off your credit card bills and leave you with a single payment to make each month.

With SeaComm’s loan pre-approval program, LoanEngine™, you might already be pre-approved for a consolidation loan! If you qualify for a pre-approved offer, you will be presented with it through our SeaComm Mobile app or NetTeller™ in the “My Offers” tab, via email, and/or a letter through the mail. Click here to login to your NetTeller™ to view your current offers. If you don’t have any offers at this time, be sure to check back every 60 days.

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