Building a Fast Credit Score
Building credit is usually a long process, which takes years to wipe from your credit report. However, many lenders often focus on the recent times. There is no surefire way to magically increase your credit score overnight, but with a few tips and tricks, you can boost it up to achieve the score that you want.
Repayment of loans
When repaying you loans, if you can, always pay more than the minimum amount. In the long run, it is more beneficial than you realize. Paying off your loan faster not only saves your money on interest, but also drastically improves your credit score- you are seen as someone who has the resources to pay off their loans.
If you can, increase your credit limit. Usually the best credit scores are achieved by keeping your spending under 30% of the credit limit. Increasing your credit limit will also limit your problems of overspending- something which might decrease your score even more. However, only increase your credit limit if you are sure of disciplining yourself. Having a sudden amount of extra money is a miracle for anyone. But remember that in the long run, you will spend more of your actual money returning the amount.
You will need to become more responsible with your money. This entails budgeting your money, so as to curb extra and wasteful expenses. Furthermore, this will prevent you from defaulting on your bills, and keeping your spending to an absolute minimum, at least till the time your credit score is restored.