Fix Your Credit Utilization Ratio
You should keep your credit utilization ratio within 30%. If you notice that your expenses are exceeding 30% of your credit limit, your credit scores will inevitably drop. Consider increasing your credit limit in such a situation.
A higher credit limit automatically brings down your credit utilization rate, provided that your expenditure or credit balance remains constant.
You may call your credit card issuing company and request for an increase in the credit limit or make an application online.
You could also get another credit card for the same purpose. However, increasing your credit limit isn't a piece of cake, and you might have to go through a rough road.
Once you successfully manage to improve your credit limit, spend carefully - your expenses must not increase.
This will balance out your credit utilization rate, and a low utilization rate boosts the credit score.
Don’t Apply for Too Many Credits Simultaneously
Hard inquiries deduct points from your credit score. If you apply for too many lines of credit at a time, each will amount to a hard inquiry.
These hard inquiries remain on your credit report for quite some time. Many hard inquiries at a time will not only reduce your credit score but will also make you seem quite desperate for cash.
Hence, lenders will not be able to trust you. So whenever you apply for credit cards, spread the applications apart over a long period.
You should keep your credit utilization ratio within 30%. If you notice that your expenses are exceeding 30% of your credit limit, your credit scores will inevitably drop. Consider increasing your credit limit in such a situation.
A higher credit limit automatically brings down your credit utilization rate, provided that your expenditure or credit balance remains constant.
You may call your credit card issuing company and request for an increase in the credit limit or make an application online.
You could also get another credit card for the same purpose. However, increasing your credit limit isn't a piece of cake, and you might have to go through a rough road.
Once you successfully manage to improve your credit limit, spend carefully - your expenses must not increase.
This will balance out your credit utilization rate, and a low utilization rate boosts the credit score.
Don’t Apply for Too Many Credits Simultaneously
Hard inquiries deduct points from your credit score. If you apply for too many lines of credit at a time, each will amount to a hard inquiry.
These hard inquiries remain on your credit report for quite some time. Many hard inquiries at a time will not only reduce your credit score but will also make you seem quite desperate for cash.
Hence, lenders will not be able to trust you. So whenever you apply for credit cards, spread the applications apart over a long period.
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