@ike_runolfsdottirIf you have an idea about how credit scores influence the calculation of direct risk levels, you must be aware that credit scores are directly correlated with claim activity. Thus, if you are willing to put your insurance premiums in a proper shape, it is necessary to boost your credit scores. Here are five ways to get a credit score up to 100 points:
Strategic Payment of Credit Card Balance
Here's advice: use less than 30% of your credit utilization limit. Track your credit utilization report. Set reminders on your mobile calendar to assist you in paying within time. These steps will create a high impact on skyrocketing your credit score to 100 within very less time.
Pay Past Due Bills ASAP
Due to a busy schedule or financial crisis, you may get caught on a past bill. You should clear the bill as soon as possible. Having previously uncleared bills reduces credit scores. Stay updated on your current account. Have a note of unpaid bills and clear them.
Low Credit Card Balance
Your credit card score will improve significantly if you keep your credit card balance under 10% of the credit line bar. If the ratio approaches the threshold limit, bring it back asap. It is best if you can keep a check constantly on your credit limit. Unfortunately, most people are unaware that their credit limit is near the maximum.
Have an Assortment of Credit Types
When consumers have a mix or assortment of multiple credit types, such as credit cards and installment loans, it better impacts their scores. Do not indulge in many credit cards at once, but you can always have two parallel credit cards running. This establishes great confidence in the user that they can handle credits.
Pay Off Collections
If you want to increase your credit score after, it is a great idea to pay off any accumulated collection. Usually debts that are converted into collections stay on track record for some seven years, so ensure all terms and conditions before paying. It will have booths short term and long-term impacts on your credit account and score.
With these tips and hacks, you can easily shoot up your credit scores to 100 quickly and hassle-free. Keep in mind that shooting up and restoring the credit points is a journey rather than just a static benchmark.