You’ll learn more about how we continue to maintain an 800 credit score despite being completely debt-free for two years if you read on.
Our family followed the Dave Ramsey approach to becoming debt-free. Overall, I like his baby steps to achieving financial freedom. However, I don’t love all of his tactics.
We were paying all kinds of bills to pay back our debt. Creditors loved us because we had a lot of debt and were good at paying it back.
Don’t miss any payments, keep your balances low relative to overall credit, and show a history of paying your debts.
Despite making a few foolish financial decisions along the way, we never missed a payment on any of our debts. This is the most critical aspect of maintaining a high credit score.
The stats show that a high percentage of credit card holders end up carrying a balance and paying that high-interest rate.
To have an 800 credit score, the absolute best thing you can do is pay your bills on time, every time.