What is the best way to improve your credit score? To better answer this question, we'll be taking a look at how credit reports and scores are calculated. For more information read http://www.newhorizon.org/credit-info/tips-to-a-better-credit-report-and-score/ Get a copy of your credit report here http://www.newhorizon.org/Info/creditreports.htm

1. Tips to Have a Better Credit
Score
By:

2. Your credit score is totaled based on five major
categories – your payment pattern, your payment
history, your debts, the types of your credit, and new
credits in your account. Now, let’s discuss each of
these credit score categories.

3. Your Payment Pattern
Obviously, how good of a payer you are will affect your credit
score greatly. To analyze your payment pattern, simply ask
yourself the following questions:
• Do you pay all your bills promptly?
• Are you in the habit of delaying on your payments?
• Do you have past due bills in your account?

4. Nevertheless, although you usually try your best to pay on time,
there may be instances when you are forced to delay on your
payments. When this happens, make sure that you get in touch
with your creditors right away. Remember, you can request from
your creditors not to report your late payments as long as it
doesn’t exceed thirty days. If you think you can’t pay off your
debt within that 30 day limit, try to make an arrangement with
your creditor.

5. Your Payment History
How long you’ve had credit also plays a role in your credit
report. That is why it is very important to establish credit as
early as possible. It adds up to your credibility as a
borrower. This is also the reason why you should never
close your account from your old credit cards even when
you don’t use frequently use them. If your old credit cards
come with high interest, use them occasionally to buy
inexpensive items just to keep them from automatically
closing out.

6. Your Debts
The debts you owe will determine whether you are a high
risk borrower or not. If you are in the habit of maximizing
your credit limit, then creditors will automatically regard
you as high risk. Ideally, borrowers should never go
beyond 30%-40% of their allowable credit.

7. Types of Your Credit
Whether you have credit card accounts, car loans or
mortgage loans also affect your credit score. A mortgage
loan can increase your credit standing because it is
considered as debt that appreciates in value over time.
Nonetheless, keep in mind that it will only boost your
credit if you are able to keep up with your mortgage.
How you manage your new credit is just as important.
Remember that each time you submit a credit application, a
new inquiry is made on your credit history. Too many inquiries
can lower down your credit score. Refused credit applications
can also be a red flag in your report. To avoid damaging your
credit, send an application only if you really plan on obtaining
it.

8. NHBS Inc. is continuously giving out
Free Credit Repair Guide and Credit
Repair Ebook.

9. Contact Us!
NewHorizonBusinessServicesInc
NewHorizonOrg
CreditRepairCoach
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1-888-308-7160
CreditTips customerservice@newhorizon.org