Emily Clarke

Tips for Increasing Your Credit Score

Keeping tabs on your credit score is easier than ever. You can request reports from the three major credit bureaus or check your score regularly with nothing more than PNC Bank online banking info. Your credit score gives lenders more insight into your ability to manage debt. It represents your creditworthiness and could impact your ability to get a mortgage, car loan, apartment and more.

If your score needs improvement, follow the tips below.

Keep Up With Your Bills

Did you know that your payment history contributes to about 35 percent of your credit score? Missed payments stay on your record for several years, so you must do everything possible to handle your financial responsibilities on time. Consider using bill trackers and payment platforms.

After providing PNC Bank online banking info, those tools can help you stay organized and cover every payment.

Keep Your Credit Utilization Low

Another significant factor that impacts your score is credit utilization. Utilization is how much of the available credit you use. You can open multiple lines of credit and pay each bill on time. But if you're constantly maxing out your cards, it doesn't paint the best picture of how you manage money.

Try to keep your utilization under 30 percent. Lower your credit card balances and use your available credit sparingly. If you have to go over 30 percent, pay off as much as possible before your following statement to avoid a credit hit.

Limit Your Credit Applications

When you apply for a new line of credit, there are two types of inquiries. Soft inquiries don't negatively impact your score. Many lenders use them to see if you prequalify for loans before going through the application process.

Hard inquiries come when you complete an application. They're more in-depth and can harm your credit score. These inquiries can stay on your record for up to two years, and having several inquiries will hurt your score.

Hold Onto Your Accounts

Contrary to popular belief, closing a line of credit is not a good move. Lenders want to see that you have a long history of responsibly managing your credit. Closing accounts will only hurt your score, so hold onto them as long as possible.

Author Resource:-

Emily Clarke writes about cash advances, overdraft protection & finance apps. You can find her thoughts at bill tracker app blog.