If you seem to be paying more on your insurance premiums than others, or your utility bills seem higher than your neighbors, or the interest rate on your car loan seems a bit stiff, you may have bad credit.

Bad credit results in bad credit scores.  If you have low credit scores, creditors, lenders, landlords, and insurance companies charge you more for their services.

Credit scores below 750 are considered by creditors and the credit reporting agencies to be bad credit scores and in need of credit repair.  Credit repair is no small task; the right direction for you might be to get some credit repair help.  In addition to getting help, let’s explore some ways you can improve your credit scores.

Tips To Improving Your Credit Scores:

Review Your Credit Reports.

  • Credit repair starts with your credit reports.
  • You can order a free credit report from the 3 national credit reporting agencies once a year.
  • Review the credit reports for errors in the information.
  • Your credit reports may contain outdated information or simply incorrect information.  For example, maybe an account was reported as delinquent but in fact you paid it on time.
  • The 3 national credit reporting agencies do not verify the information that they receive from creditors, they just report it.
  • It is your responsibility to correct any incorrect data on your credit reports.
  • Notify the credit reporting agencies in writing of any dispute that you have.
  • Include a copy of your credit reports, and highlight the information you are disputing.
  • The credit reporting agencies have 30 days to respond to your inquiry.

Repair Your Payment History.

  • You can dramatically improve your credit scores with a good payment history.
  • The most critical financial habit that you can develop is the habit of making your payments on time, without fail.
  • Your payment history has the biggest impact on your credit ratings.
  • Your payment history makes up the largest percentage of your credit scores.
  • You need to prove to lenders  your ability to manage your debt.
  • You show lenders that you are  financially responsible with managing debt through your payment history.
  • Always, always, always make your payment on time, even if it’s not for the entire balance amount, still pay on time to show creditors and lenders that you do have control of your debt.

Keep Your Credit Card Balances Low.

  • The amount of debt you carry makes up the second largest percentage of your credit score.
  • The amount of debt you carry compared to the amount of credit made available to you is used by creditors to grade you.
  • If you use a smaller amount of credit than is made available to you, creditors label you as a good risk because you show that you are financially responsible.
  • Creditors view you as a high risk is you have a high debt balance and are always maxing out your debt and your credit cards.
  • If you have high credit card balances, lenders think that you are more likely to pay late or not pay at all.

Repairing your credit scores and credit rating is worth the effort because a good credit score will save you money.   If you need credit repair help, get it, don’t wait, contact some credit repair services.

Having a credit score above 750 will make the difference between over paying  for goods and services and paying a right amount.    With a good credit score, you will qualify for lower interest rates, lower insurance premiums, lower down payment requirements and even lower minimum payments.

Now that you know the steps to improve your credit score, you can get started.   Order a free credit report from each of the 3 national credit reporting agencies, check the report for errors, improve upon your payment history and keep your debt low.