As interest rates continue to rise, it’s more important than ever to ensure that your credit is either “very good” or “exceptional.” The benefits of having such upper-tier credit are worth the time and effort to build it. For starters, good credit enables you to borrow money at a lower interest rate, receive better terms and deals on credit cards and cell phones, and receive a better, lower interest rate on a home mortgage. What’s more, a solid credit score demonstrates to lenders that you’re reliable at keeping your promise of repaying money that’s loaned to you. But what if your credit isn’t in good standing or if you’re just getting started building your credit? You’re not alone. In the first quarter of 2022, ended March 31, credit card balances rose year-over-year to $841 billion, according to the Federal Reserve Bank of New York. The national average credit card debt among cardholders with unpaid balances was $6,569. That kind of debt can give your credit score quite the beating, but don’t fear, there’s still hope you can build a better credit score. If you suffer from a less-than-optimal credit score, we can show you how to build credit fast so you can get the things you and your family need.
What is a good credit score?
There are two kinds of credit scores: the Experian score and the FICO Score. The FICO Score is used more often, but both are used interchangeably, depending on each individual. The FICO scale runs from 300 to 850, with the latter reserved only for those with the best credit. From there, it ranges from good to fair to bad, depending on your numerical score. FICO® Credit Scoring 8 Model
How to build your credit fast
Eager to improve your credit score? ZDNet offers the following steps to help you bolster your numbers without prolonged delay or added stress. When you can be trusted to repay what you owe, you might just be surprised at how quickly you can build credit and improve your credit score.
