Whether you like it or not, your credit score is something you’re going to have to maintain. It affects your ability to rent property, purchase a vehicle, and secure a loan.
Thus, having low credit can significantly impact your quality of life.
But, it’s not impossible to experience a big jump in your score in a short period of time. In fact, you can even raise your credit score 100 points overnight.
Not sure where to start? Don’t worry, we’ve got you covered.
Let’s take a look at everything you need to know about increasing your credit score by tomorrow morning.
Take Care of Any Late Payments
This is one of the most important tips you can take advantage of.
When you have missed payments, your credit takes a significant hit because you’re showing lenders that you’re not financially responsible. When you pay these off, however, the problem more or less disappears.
But, it’s important to understand that you need to take care of all your debt if you want such a large increase in a short period of time.
If you have any payments that have been sent to collections, you’ll have to pay those, as well. When all of your outstanding debt is taken care of, you’ll experience a welcome bump in your score.
Reduce Your Utilization
While it’s important to have at least some utilization on your credit card, consistently spending at or near your limit can cause your score to tank.
Thus, it’s important that you spend responsibly when using your credit card to make purchases.
In general, you’ll want to use no more than approximately 30% of your credit limit. If you’ve been overspending the past few months, cutting back will reward you with a nice increase in your credit score.
This applies to each individual card that you have. So, it’s counterproductive to spend almost nothing on one card while hitting your limit on another. Keep that in mind when attempting to raise your score.
Dispute Negatives Credit Report Items
Your credit report displays all of your credit activity from a given time period. If there is a negative entry (such as a high balance, payment sent to collections, etc.) it can drastically affect your score.
The real trouble, however, comes when these entries are on your report by mistake. Occasionally, credit card companies or businesses will make an error when processing your card, leading to a drop in your score.
Luckily, there are ways to navigate this issue. They include:
- Disputing the entry by notifying the credit bureau
- Filing a dispute directly to the business in question
- Asking for a goodwill deletion
Even if these entries were a direct result of your actions, you can still contact your creditor to discuss your options for removing them from the report. Since your credit score is so vital, it’s worth doing so.
Raise Your Credit Score 100 Points Overnight with These Tips
And you can drastically increase your potential when it comes to making purchases or securing loans.
With the above information in mind, you’ll be well on your way to learning how to raise your credit score 100 points overnight.
Want to learn more about how to manage your finances? Make sure to check out the rest of our blog!