Easy-Peasy Credit Score Hacks

So you need to get your credit score up? I work with quite a few individuals that tell me this on a regular basis. Low credit scores can definitely create a hard to cross barrier on your path to home ownership.
Typically, anything below 620 can make things challenging, but not impossible. I work with lenders that will go down as low as 500, but there are many documentation requirements, higher down payments and a host of other obstacles to work through.

Believe me, you want to get your credit score up as much as possible because it will help you get the best product for you at a better rate. Rate pricing is hugely impacted by credit score, among other things.

But let's get to it! I'm going to give you three easy ways to increase your credit score:

1) Request a credit limit increase from your credit card companies. This will lower your balance percentage to the credit limit percentage, increasing your credit score.

2) If your spouse has a credit card that you are not an authorized user on, request to be added. By adding yourself to their credit card, you will get credit for the account. The trick here is to make sure that the credit card is not maxed out and has a low balance with a good payment history.

3) Open a secured credit card. Basically, cash that you transfer backs the card and you can use it just like a regular credit card. Once the cash balance gets to $0, just add more to it and spend away. This is a great credit builder if you have very little credit.

4) Keep your credit card balances under 25% of the max limit. If your credit card balances are too high, it can greatly decrease your credit score. Check out the %'s below - 30% of your credit score falls into this category.

Payment History: 35%
Amounts Owed: 30%
Length of Credit History: 15%
New Credit: 10%
Credit Mix: 10%

Important: These percentages represent the general FICO scoring model. Your individual score can be affected differently depending on the information in your credit report and which FICO scoring version is being used.

5) Consider a full debt consolidation. This will help you lower your credit card debt, which will in turn raise your credit score. If you are interested in that, book a call with me below.

These are just a few ways to either build credit or start repairing credit. I am not a credit repair expert by any means, but I do know some things that can help you get mortgage ready. If you are in need of extensive credit repair, I can get you in contact with trusted professionals that I work with.

Book a call with me for a credit consultation:
www.ShanaWilliamsMortgage.com