No matter if you pay the balance within a few days or if you carry it from month to month. Most people do not realize that credit bureaus do not distinguish between those who carry a balance on their cards and those who do not. So by charging less you can raise credit score, even if you pay your cards credit each month. Lenders also like to see a lot of space between the amount of debt on their credit cards and your total credit limit. So the more debt to pay, the greater the gap and the better the credit score. 4. Do not close old accounts in the past, they were told to close old accounts they were not using.

But with current methods to note that today might actually hurt your credit score. Closing old or paid off credit accounts lowers the total credit available to you and makes all balances that have appear larger in credit score calculations. Closing your oldest accounts can actually shorten the length of your credit history and a lender that makes you less credible. If you are trying to minimize identity theft and worth the peace of mind to close your old or paid accounts, the good news is that only slow you down, score a minimum amount. But just to keep old accounts open can increase your credit score. 5. Stay out of bankruptcy Bankruptcy is the only thing worse than destroying your credit score. Bankruptcy will lower your credit score by 200 points or more and is very difficult to return.

Once your credit score falls below 620, any loan you get will be much more expensive. A bankruptcy on your credit history is reported up to 10 years. The reality of bankruptcy is limited to high-interest lenders to absorb the payment of high interest rates of you for years. It is best to get credit counseling to help with your bills and avoid bankruptcy at all costs. Upon receipt of credit counseling instead of declaring bankruptcy credit score can increase over a much shorter period of time. Copyright e 2005 Credit Repair Facts.com All Rights Reserved. Gary Gresham is a mortgage loan officer and manager Offered credit information, programs to eliminate debt and information that give you the knowledge to correct your own credit and credit report. For more credit related articles go to: