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Improving your credit. 1. Make all of your payments on time. If at all possible, never let an account become more than one payment past due.
2. Learn what's on your Credit Report.
3. Continue to check your Credit Report regularly, and correct inaccuracies as soon as possible.
4. To minimize the number of inquiries on your Credit Report, don't apply for multiple Credit Cards over a short period of time, or for a card you're not likely to get. In general, try to keep your total account balance below 50 percent of your total available credit. For instance, if your cards have a total credit limit of $2,000, keep your total balance under $1,000.
5. Close accounts you don't need. To a lender, a high total credit limit signals potential overextension. At the same time, lenders want to see that you can maintain more than one account at a time. A total of three or four cards, which may include gasoline or department store cards, is usually good. If your credit is severely damaged or you have a very short credit history, apply for a gasoline Credit Card, a department store card, or a secured Credit Card. Use the cards, and pay the balances in a timely matter.
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