Credit scores help lenders determine, at a fundamental level, whether or not to give a loan to an individual. Many people and institutions use credit to evaluate an individual’s overall financial trustworthiness.
Your credit score is a number in the range from 300 to 850, and Americans with a credit score above 670 have a “good” credit score.
Organizing your bill payments so that you make every payment on time.
One of the factors lenders consider when modeling an individual’s credit risk is their credit utilization — the percentage of total available credit a consumer is using month to month.
If you have various debt sources that need repaying, consider consolidating them all into one payment with a debt consolidation loan. Just be wary of debt consolidation fees as they can sometimes be upwards of 3% of the total loan amount.