Which will be the better way to raise my credit score?
I have one positive thing and one negative thing on my credit. The positive thing is a car loan that is in good standing. The negative is a hospital bill for $400.00 that is still owed and is closed. My score is 598 and I have never had a credit card or anything else on my credit those are the only two things. Would it help my score more to pay off the medical bill or get a credit card and just put gas and pay it off at the end of each month?
Public Comments
- Both but definetly pay off the medical bill it will stay on your record and only hurt you in the end.
- Pay the bill. You'll only get a high interest credit card and may end up having to do a secure credit card. You owe the bill, pay it.
- There is no way to erase bad credit from your credit report, but you can improve it. Follow these simple guidelines to help restore and improve your credit score. First, make sure all the information on your credit report is accurate. Second, try to pay off all or any accounts that are currently in collections or make payment arrangements with the creditor to pay off the balance monthly. Third, any credit card that is over 50% of the available credit line should be paid down to under half of your total credit line. Your credit score is lowered when your available balance is over 50% of your total credit line. Finally, if you have bad or no credit and have no credit cards try to obtain two credit cards and make sure all of your monthly payments are made on time. This will help increase your credit score. If you cannot be approved for a unsecured credit card, obtain a secured credit card. Repairing your credit and improving your credit score is a slow process that takes time.
- yes good idea, pay off your debt and then get a credit card but be careful and make sure u pay it off on time..
- The best move is to clear the medical bill. The longer that remains in bad standing the worse it looks. After that I would recomend getting a low risk card. Something like a Miejer or Sams Club credit card. They may be out of your reach with that score, so if they are, try another one from a good company like Capitol One or Chase. They often help out people looking to build credit. Another tip is to not miss any payments. Even one missed payment can ruin years of hard work. Lastly, don't be afraid to get a cosigner on a new loan if you need one. This will get you the loan and help bring the credit up, albiet less then if you get it on your own. I got $1000 dollar christmas loans cosigned for two years, and then for two years on my own, as a personal loan. It really helped my credit each year.
- Yes, paying off that medical bill will help increase your score. Plus, getting a gas card and making timely payments will also increase your score. On my Yahoo answers page you can visit my credit repair link. Best of luck to you and your family
- Paying off your medical bill won't help boost your score since even if you pay it, it will still be on your credit report for 7 years. Some of the things you'll want to do is follow the steps I have listed here and make sure you get the free credit report monitoring on the article listed below to track your progress. Here are my 10 steps you can use to build your credit score quickly. I raised mine to well over 700 points fro 500 using these steps in less than a year -- : # Know and Track Your Credit Score (be sure to sign up for the free trial of your credit score monitoring listed on the article below. It really helped my get my score up.) # Never Miss a Payment, Starting Today # Never use more than 20% of your Available Credit # Keep Credit Cards that Have No Annual Fees Open For as Long as Possible # Extend Your Credit Limit on Cards You Already Have before You Get New Ones # Get Credit Cards that Have CashBack Rewards to Contribute to your Balance # Transfer Your Balance to a Credit Card with a Lower Interest Rate and a Higher Available Credit- # If You Think You Are Going to be FORCED to Pay a Bill Late Ask for an Extension or Payment Plan # Take out a Small Personal Loan and Repay it Over a Year # Ask Someone With Good Credit if They will Account Shadow you Read the full article here, it gives you an overview of credit scores, and the 10 steps in detail on page 2 .. Good luck! http://millionster.com/articles/debt/increase-fico-credit-score/ If you have any more questions just post a comment on my blog above.
