12 Apr How to Get the Best Credit Score in 30 Days?

Have you ever wondered how you can boost your credit score in a month? All of us have had a low credit score at one point or another, and so it’s vital to be financially literate when it comes to credit. This way, it’s easier to understand how you can boost your credit, even if in a short amount of time, as little as 30 days. Keep reading to understand how you can get the best credit possible in 30 days.

It’s important to note that building credit takes time, so this article isn’t a guarantee that your credit will soar in 30 days. Rather, it’s a guide to how you can boost your credit. No results are guaranteed. Building a strong credit history takes time and consistent positive financial behaviour. However, there are steps you can take to potentially improve your score in a short period:

Check your credit report and dispute errors

Before you begin building credit, you should have a good idea of where to start. Check your credit score using Credit Boost‘s free credit checker. You can obtain a free copy of your credit report once a year from each credit bureau, including Experion, Transunion, and Compuscan. If you spot any errors, you should dispute them right away.

How to dispute credit report errors

First, decide what’s wrong with your report. Is your personal information incorrect? Are there judgments or debts that are marked unpaid, when in reality, they are? Make sure to provide clear and concise details about the error, including the specific information you believe is incorrect and why.

After that, the credit bureaus will investigate your dispute within 21 days, which they must do by law, as per the NCA (National Credit Act). If the bureaus find evidence in your favour, they will correct your report. If they don’t rule in your favour, you can escalate to the credit Ombudsman.

Focus on lowering your credit utilization ratio

Your credit utilisation ratio is how much credit you use with how much you have available. So for instance, if you have R10,000 credit available, and you use R3000, you have a 30% ratio. Your credit utilisation ratio is important because it reveals how responsible with credit you are to banks and anyone whom may loan you money. It’s also a major factor in credit score rating.

We recommend taking out a credit card that you use to make small purchases that you pay off promptly. Aim to keep your credit card balances below 30% of the limit. If possible, pay down balances strategically to bring down the utilization ratio quickly.

Make Upcoming Payments on Time

Importantly, you should make payments on time. Always. This is an additional major factor that influences your credit score. If you don’t pay on time, you may find delinquencies issued on your credit score, which can significantly hurt your score. Prioritize making minimum payments on all credit cards and existing loans to avoid this.

Remember that significant improvements on your credit score take time and that these are potential ways to boost your score. Focus on building long-term healthy financial habits to improve and maintain a good credit score. If you need assistance with credit clearance, be sure to contact Cape Town Legal Consultants.