A good credit score is important to avail of loans and credit at favourable terms. Improving your credit score can take time and there is no easy way to improve your credit score overnight. Some credit users are successful in improving their credit score by 100 points within a month. With the help of the following tips and tricks, you can improve your credit score substantially:
- Regular Monitoring of Credit Score – One way to improve credit score significantly within a month is by verifying your credit score and thoroughly checking your credit report periodically. There are instances when incorrect or inaccurate personal information results in a false credit report and poor credit score. This can be immediately reported to the credit bureaus and credit score can be improved.
- Limit Credit Utilization – Credit card usage has a significant impact on credit score. Therefore, limiting credit utilization to a minimum can help in improving the credit score within a short duration.
- Timely Repayments – Regular and time loan or credit card bill payments can help in improving credit score as lenders consider this as a sign of good credit behaviour.
- Avoid Multiple Enquiries – Multiple credit enquiries at the same time can alert lenders about a credit crunch and they may be unwilling to lend to such borrowers. This can also affect credit score negatively.
Additional Reading: How long does it take to improve a CIBIL™ score?
To improve credit score within a month by at least 100 points, all of the above tips must be practised. It is important to maintain consistently good credit behavior to improve credit history and therefore, credit score.