How to improve your credit rating
How to Improve your Credit Rating
How to improve your credit rating
Your credit rating is the record of your finanical standing in report format which is used by the credit reference agencies. A typical credit report consists of information on payment history, past bankruptcy, credit cards and mortgages. Everytime you apply for credit, the information contained in your credit report is used by Lenders to calculate your credit score and check your credibility. A high credit score indicates a good credit history and hence improves your credit worthiness. In addition to that, your credit rating will also determine how much interest you're going to pay on the loan.
A typical credit file generally holds the following information:
· Personal Information including Name, Partner’s Details, Previous Addresses
· Publicly Available Information including Electoral Rolls, Court Judgements, Bankruptcies
· Information on Financial History including you Current/Previous Financial Accounts, Credit Cards etc.
As a result of the recent Global Economic Melt-down, the credit companies are all set to tighten their rules further in order to ensure that the credit is given out only to the low-risk consumers. It is therefore very important to tidy up your credit reports so that you won't be turned down for credit.
Following these simple steps below will help you fix your credit score and possibly win you the best deals available!
· Be Credit Acitve
· Be calculative
· Be on the Electoral Role
· Keep your credit file up-to-date
· Show evidence of Stability
· Get rid of those Dormant Accounts
· Open up a Savings Account
· County Court Judgements
· Direct Debits - better be safe than sorry
· Stay away from Credit Repair Companies
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How to Improve your credit rating