Photo: Getty Images
Don't wallow in bad credit. Get it back up with some easy steps.
1. Get a free credit report. Normally, you're entitled to one free copy of your credit report from each major bureau – Experian, Equifax and TransUnion – once a year. But through April of 2021, you can access your report for free every week.
2. Set a budget to improve payment history. Being on time sends the message to lenders that you're trustworthy and responsible, so it's important to work on improving your payment history – it carries the most weight of the various factors that go into calculating your credit score.
3. Lower credit utilization. A ratio of 30% or less is helpful to your credit score, whereas a higher ratio will harm it. That's why it's important to keep tabs on your existing credit card balances to make sure you're not going overboard.
4. Check your credit score. Some credit cards provide a free FICO score – the industry standard.
5. Use a balance transfer card to wipe out interest until 2022. Balance transfer credit cards are a great way to save money while you pay off debt. This type of credit card offers a low introductory APR – many even start with a 0% APR.
(KENS)