Develop a Good Credit Score in 6 Simple Steps

Perhaps even more shocking is the fact that about 45 million Americans don’t have a credit score at all.


A good credit score isn’t anything to be intimidated by – we promise, it’s a lot less complicated than you think.

You just need to follow the rules and a few simple steps. We’ll show how you in this article.

1. Start Building Your Credit History

The sooner you can start building your credit, the better. Even if you’re a parent of teenagers, it’s never too early to start teaching them about the importance of credit.



Open a credit card account and charge as little as possible as you can at the start, so you can always make your payments to build up a great history.

2. Make Your Payments On Time

If you keep missing payments on your loans and credit card bills, it’s going to bring your credit card down. If you miss a single payment, it may or may not impact your score, but if you miss two in a row, that could stay on your credit report for a shocking six years.

Always make it a goal to make your minimum payments.


3. Don’t Over-Charge Things On Your Card

Believe it or not, staying about 30% below the minimum balance on your credit cards will also help you to build great credit.

We know it can be tempting to charge all the exciting things you want to your card, but no “must-have” sale item is really going to be worth wrecking your credit over.

If possible, pay your balance down more than once a month.

4. Keep Your Older Accounts

As you work towards developing a good credit score, it’s likely that you may at some point open up other accounts.


Even if you like your new credit card better, it’s always a good idea to both keep your old accounts, and to make charges to them!

This is because the length that you’ve had the account can also impact your score – the longer, the better.

5. Diversify Your Account Types

Another great way you can help to improve your credit score? By opening different types of accounts. Of course, you don’t want to go crazy, but doing this will show you’re responsible.

Look into things like mortgage and student loans, lines of credit, and more.


6. Get Higher Credit

Believe it or not, the higher your credit limit (AKA, the maximum amount you are able to charge on your credit card) the better your credit score will be. This is because you’re much more likely to spend close to the maximum balance.

However, don’t get more credit than you need – or that you’ll be too tempted by!

Develop A Good Credit Score Thanks To These Tips!

Now, you know exactly what you need to do to get a good credit score.

Looking for more expert financial advice? Want to learn how to save and spend better?


Check out our website to learn how to better manage your money, and to get control of your finances.