How to Get a Better Credit Score

Man using a laptop on an outdoor table

Are you worried that your credit score will prevent you from getting a new car to drive around Peoria? When it comes to financing a car and figuring out how to get a better credit score, Mike Murphy Ford is here to help. These tips to start raising your credit score should help!

Tips to Increase Credit Score: Check Your Credit Reports

Obviously, identity theft has the capacity to impact your credit score, but there’s also the fact that mistakes do happen. So as you consider ways to raise a credit score, look into your credit reports to ensure that they’re as factual as possible. Obtain reports from all major credit bureaus: Experian, Equifax, and TransUnion. The good news is, the Fair Credit Reporting Act entitles you to one free copy each year, accessible at AnnualCreditReport.com.

Tips to Increase Credit Score: Assess Your Debts

Assessing your debts is another step forward in improving your credit score. When you do, you will get a sense of understanding exactly how much you owe, which affects your credit score in two ways:

  • The amount of credit you have versus how much you have charged indicates your debt-to-credit ratio. For a better credit score, keep your credit card charges under 30% of your credit limit every month.
  • The more credit cards you have with balances, the lower your credit score will be.

Tips to Increase Credit Score: Create a Payment Plan

Once you’ve gotten all the information about your current debts, tackle them head-on with a repayment plan. This includes focusing on:

  • Debts in collections
  • Small balances on cards
  • Larger debts, slowly but surely

Tips to Increase Credit Score: Open a Credit Card

As you consider how to boost my credit score, think about this: have you ever had a loan or credit card? Your credit score may be low simply because you haven’t taken out credit. Establish credit in East Peoria by opening a credit card. Just make sure to maintain a balance below 30% and pay your bill on time every month. Having trouble with your credit card applications? Try for a secured credit card, as they usually have a small limit and require an initial deposit to open.

Tips to Increase Credit Score: Minimize New Credit Applications

Although we previously mentioned the importance of opening a new credit card if your credit score is low or non-existent, we still recommend being careful when submitting new applications. That’s because hard inquiries of your credit have the potential to impact your score for up to a year.

Get More Financial Tips from Mike Murphy Ford

Pekin drivers can always turn to Mike Murphy Ford for any financial advice they need before, during, or after the car buying process, especially when it comes to how to get a better credit score. Get in touch with any questions, and feel free to apply for financing online to get started!

More From Mike Murphy Ford

  • 2022 Ford Escape Interior

    The all-new Ford Escape has a lot to recommend it, boasting powerful capabilities in a compact frame. Hit the roads of Peoria in style and safety with features like all-wheel drive, selectable drive modes, and a strong towing capacity. One of the highlights of the new Ford Escape is its sleek interior cabin, representing the…

  • 2022 Ford Explorer Interior

    The Ford Explorer full-size SUV is back for 2022, and among its most impressive features is a roomy interior cabin with several different seating arrangements available. If you need to max out the passenger capacity, you can comfortably seat up to seven passengers across three rows, with every passenger getting plenty of head- and legroom….

  • 2022 Ford F-150 Lightning Specs

    As the flagship of the Ford lineup, the Ford F-150 is one of America’s most iconic and recognizable pickup trucks. Now, it’s getting a revolutionary upgrade in the form of the Ford F-150 Lightning, a fully-electric pickup that retains everything you love about the F-150 while adding a whole new range of benefits. These include…

AudioEye
Chat
Garage

Garage

Your garage is empty.
Save some vehicles to get started!
AudioEye
Search
Contact
Garage

Garage

Your garage is empty.
Save some vehicles to get started!
Chat
Mike Murphy Ford 40.615312, -89.462684.