Do you know your perceived “risk” to a credit grantor? Many borrowers who are not able to qualify for a mortgage would qualify if their credit score was higher.
It’s a good idea to find out your score before you apply. Standard options are Equifax, Transunion, Experian and Fico.
Here’s how you can improve your credit score using the data from your credit report:
– Pay on time.
– Correct mistakes in your credit report. Mistakes are very common.
– Detach yourself from the “wrong vendors”. Stay away from finance companies and credit cards issued by department stores.
– Reduce balances on revolving credits to less than 50% of the maximums. This includes credit cards and HELOC’s. Utilization ratios can be reduced by getting maximums raised or paying down the balances.
– Minimize the number of “hard inquiries”, i.e. requests to a credit agency for your credit score from a credit grantor, insurance company or other entity.
Pay off collection accounts.
If you have further questions on improving your credit score, please feel free to contact me. I’ll be happy to put you in touch with trusted advisors who can guide you through the process.