Several Canadians have less than perfect credit. This write-up does not provide you a magical solution to all your debt and credit woes. However, the financial decisions that you make right now will discern the state of your credit in the future, and if you can manage it responsibly, you will see substantial improvements to your score within the next 30 days.
Here are three things that you can do right now to help rebuild your credit score:
1. Examine Negative Credit History
A major step in starting to rebuild your credit is making sure that you don’t have any old, negative history existing on your credit report and weighing down your finances. Requesting a copy of your credit history will certain that all items on your file are accurate, thus helping you re-build your finances and shoot up your score. If you see any payments that are incorrect on your file, contact the credit bureau to dispute it – errors on your report that are more than 7 years old should be taken off so that your history can be kept up to date. You can obtain a copy of your credit report from Canada’s two major credit bureaus, Equifax and TransUnion.
2. Set Up Payment Reminders
Eighty-five per cent of Canadians bank online, and tools like payment reminders are often always a part of the service. Befriending a payment reminder is free and extremely helpful for people who are unaware of their payment due-dates, or have a track-record of forgetting to pay a bill. You can set up reminders to come through your e-mail, and some banks even offer text reminders. Alongside this, most online banking systems provide automatic payment options, which means that your minimum required payment is withdrawn from your account on the due date. If you have the funds accessible, this method will guarantee that you’re always respecting the payment deadline.
3. Stop Spending Temporarily
Achieving your desired credit score means that firstly, you must reduce the amount of debt you have. To achieve this, it’s important that you temporarily stop using your credit card so that you can organize your finances. Make a list of your accounts and check all recent statements to determine what you owe and what your interest rates are. By prioritizing what your available budget for debt payments should go towards, your financial plan will help with long-term financial goals. Once your debt is at a more manageable level, you’ll be able to pay your credit off in full monthly and watch your credit score jump up at the same time.
Developing a good credit score is like following a healthy lifestyle – it’s not easy at first, but over time, the positive decisions that you make right now will eventually score over any negative history that you once had. Start building your credit with a car loan today! Visit Canada Auto Experts or call 1-855-550-5565 to speak with a credit specialist.