How to keep a Healthy Credit Score

Do you want to keep your credit score at a healthy level? Of course you do, we all want to keep our credit score at the highest levels that we possibly can. However, keeping that credit score at a good level can take some work, planning and some sacrifice on your part if shoring up your credit is really important to you. So what are going to do to keep your credit score nice and healthy for you?

The first thing you are going to want to do is to keep paying all your bills on time. Paying your bills on time is going to allow you to keep your credit score high because keeping your score high really depends the most on paying your bills. There are other factors that determine your credit score but a late payment is going to kill your score immediately.

What else keeps your credit score nice and healthy? Try to keep your used credit down to around half at most. For example, if you have 10,000 dollars in credit, try to use no more than 5,000 at one time. It will help your credit score because it won’t look like you have such a dependence on your credit and that you have a cushion should something happen to you. It also means you are paying more than the minimum payment.

Don’t apply for new credit cards left and right either. Applying for new cards can effect your credit score because all the credit can become a burden on you at some point. Try to have no more than 3 credit cards at one time. You don’t want to be paying all that interest and potential annual fees on that many cards anyway right?

Get your credit report on a regular basis! Getting your credit report on a regular basis is going to allow you to take a step back and assess you entire financial and credit picture. It will let you see where your credit is good, where it could be improved and if there are any mistakes that are damaging your credit score at the moment.

Establishing good credit is something that we all need to do in order to have a secure financial future. Don’t take your credit for granted and make sure you have a good credit score to keep yourself from falling into a credit hole yourself.