How To Increase Your Credit Score For Free
How to increase your credit score for free? Did
you know that people with a 720 score or higher save on average $10,000 per year
versus someone with a credit score less than 600? Oh, yeah. TThere is so much
benefits to having a good credit score that I'm gonna tell you how to
get yours up for free. Let's go. I'm going to share with you a simple step-by-step
process on how to increase your credit score. I'm going to share with you my real secret on
how I went from a terrible credit score to over 800 today. And last but not least, I'm going to
share with you my dirty little secret to always have great personal credit and never worry about
it again.
Having a great personal credit score can really save you tons of money. In fact, bad credit
is very expensive. We need to fix that. Personal credit is really easy to learn too. As you know,
there are 3 credit bureaus. We have Experian, Transunion, and Equifax. And each of these three
credit bureaus all will have a different credit score. Now, what goes into a credit score? No
one actually knows. But we do know there are some things that on your credit that affect your
score. For example, on your credit report, you'll have the top where it has your name, your personal
information, where you live and things like that. That needs to be very accurate because if you
move around or you change information a lot, you can end up with a very low credit score
just for some of those things being inaccurate. But the most important thing on your credit
report of course are the trade lines.
Your trade lines are your different credit lines. So, if you
have a credit card or auto loan, or student loan, they will report on your credit report as
a tradeline. It will tell you the name of the company, when the account was open, what the
highest limit was, what the current balance is, and how well you have paid that tradeline. For
example, if you pay on time, it will have that you have paid on time as agreed. However, if you
pay 30 days late or 60 days late, or 90 days late; it will be marked on your credit and it can really
take down your credit score.
Another thing that really affects our credit score is how much of the
utilization we have used. So, for example, if you have a credit card and the limit on that credit
card is $1,000 and you have also charged $1,000 on it, your credit score will be very low because the
credit card limit and the credit card balance are very close to each other or the same. You really
want to have it where your credit line, the limit and what you have charged on it is much lower. In
fact, only about 30%. So, in most examples, if you have a credit card that's a thousand dollars
with the limit, you really don't want to spend more than $300 of it. That's about how it works.
Now, again, there's no magic formula to this but that's the best way to have a high credit score.
Another thing that is super important of course are your types of credits.
You can have credit
cards which are revolving a lot trade lines, you can have car loans which are like installment.
And then you have mortgage loans and things like that which are mortgage accounts. The type
and the mix of accounts that you have does affect your credit score. They want to see that
you have different types of credit not that you just have all credit cards or car loans. You
really want to have a mixture between the two. And last but not least you want to make sure that
you don't have any public records or inquiries. You don't want to have too many inquiries on your
credit report.
That's how many people have been checking your credit. Because that will indicate
to people that you are trying to borrow money and they will drop your credit score for that.
Additionally, in the public records section, you don't want to have any judgments, any liens,
or any bankruptcies, and foreclosures or things like that. Types of accounts that they will
find in public records because that's usually derogatory and it affects your credit. So, in
other words, you want to make sure that you are paying your accounts on time, that you have a good
mix of credit and that you use your credit wisely. These are the ways to have a really good
credit score.
Now, let's talk about how you increase your credit score if one of those
things is out of whack. So, like I said, one of the major things that affects your credit
report is your credit utilization. Again, how much of your credit are you using? For example, if you
have those credit cards, are they all maxed out? Are they towards the limit? Or do you have a lot
of available credit? If you don't have a lot of available credit, you really want to start getting
more credit cards so that you can transfer and separate those balances out. The last thing that
you want to do and trust me from my own experience is have a bunch of credit cards that are maxed
out. Even if you are paying them on time, this is going to negatively impact your credit.
When I first quit my job and I became a real estate entrepreneur…
You know, I'm a real estate
entrepreneur a millionaire and a mom of five. And so, before I was that, I was a working
person. I used to have a job in corporate America and I transitioned from working to becoming an
entrepreneur. Well, when I became an entrepreneur, I needed to advertise my business. I needed to
run Facebook ads and Instagram ads and send out letters and let people know what I was doing.
Well, unfortunately, I used my own personal credit cards and my credit score tanked. Now,
this was devastating for me because like I said, I'd actually started investing in real estate
from my parents' basement. I was broke and had bad credit already.
And when I got out of my
parents' basement I had fixed my credit. So, when I quit my job and I started using my credit
cards, I could not understand why my credit score was dropping again. I had worked so hard to get it
up. Well, credit utilization was really killing me and it was really hard to get my credit score back
even though I was paying my credit cards on time. So, the solution to that is get more credit cards.
I know that sounds crazy but if you can get more credit cards, you can easily start to transfer
those balances off of those credit cards onto your new credit cards and make sure that the credit
utilization is below 30% like I said. Let me give you another tip because this blew my mind. The
number 2 thing that you want to do and this is so important is you want to start adding authorized
users.
So, adding yourself as an authorized user to someone's account can really boost your
credit score. And it's absolutely free. In fact, this is how I got my credit score from the 500s
into the 700s without even doing anything. Okay, if you know someone that has good credit, for
example; a mom, a dad, a sister, or a brother; they can be what's called a credit sponsor
and they can put you on their credit cards. And this can really help your credit score if
they pay their credit cards on time and they don't really use them. Well, I had a situation
where my dad had all of these great credit cards and he wasn't really using them. So, what he did
like his America… He had 2 American Expresses and a Chase card. He added me onto those credit
cards as an authorized user and those credit card trade lines began reporting on my credit report.
So, all of a sudden, I had these great credit cards on my credit report and they had these very
long histories.
He had opened some of those credit cards years ago and although they had become new
and I was a new authorized user, when it reported on my credit report, it showed that I had an
account from 10-20 years ago. It boosted my credit score way up. It's an amazing trick to get
your credit score up. All you need to do is find someone with really good credit. And it's very
low risk to them because they do not have to give you the credit card. You can just use it for the
purpose of increasing your credit score.
Number 3, and this is how I got my credit score into the
800s. You have to get rid of all bad credit from your credit report. I know. Even if you did
it, that's kind of the crazy part. So, even if you paid late or if you didn't pay someone,
that does not mean it has to be on your credit report. You can get bad credit removed from your
credit report. And I'm going to give you a secret on how you can do some of this. So, the important
thing about credit bureaus is that anything, any information that has been reported to the credit
bureau, the burden of proof is on the person that reported it. So, in other words, if you have a
Chase credit card, just using that as an example. It is on Chase to verify the accuracy of that
information. Remember this because this is so important.
Anything that is inaccurate must
be removed by law from your credit report. So, the burden of proof is on the creditor. So,
in many cases, you can dispute or get things removed if it's at all inaccurate. Now, again,
I am not a credit repair person but I have been through credit restoration. I'm going to give
you a great company. And this is what they did for me. Anything that's even slightly inaccurate
must be removed and they can get it removed. So, I've gotten tons of inaccuracies removed from my
credit report and that is one of the ways that I have created great credit and I don't have to
worry about that because I have this company that also knows how to do it all the time. And here's a
rule. So, one of the things that people will tell you to in order to fix your credit is that you can
also buy tradelines or you can buy someone else's credit report or buy tradelines for your own
credit report.
I do not suggest this at all. This is a shortcut. This is not like a tip. I don't
think you should do it. I don't know anyone that has had any success in doing that. In fact, I have
had a student that has done that he shared with me. He ended up losing points on his credit and
even getting one of his own personal credit cards shut down doing this. You do not need to do this.
You can do credit restoration where someone can add trade lines to your credit report legally
and things like that. There's tons of things that can be done legally and ethically to fix your
credit. You don't have to do anything unethical or illegal. If you need help fixing your credit and
you don't want to do traditional credit repair, I have a great company called creative credit
solutions and I have a link below and I'll put it on the screen to that company.
I do not
own this company, it's not my company but it is a company that I have worked with
and many of my students have worked with to get their credit scores up. And I can say from
my own testimony that it worked for me and that is the only reason why I'm referring other people to
this company. So, if you have bad credit and you don't have time to do it yourself, you can spend a
little bit of money and they can help you.
Again, super inexpensive and very effective. So, I have
written an entire book and I'm giving it away to you absolutely free. My new book Real Estate
Millionaire Secrets is a book where I walk you through how I took myself from my parents'
basement with bad credit and no money to a multi-million dollar business owner. I walk you
through exactly how I did it. I give you the steps the resources and checklists and tools so that
you can do it too. I want to make sure that you implement everything in real estate millionaire
secrets so that you can do it too. You can get this book absolutely free at noellesfreebook.com.
Again, that's Noelle (n-o-e-l-l-e with an s). Noellesfreebook.com. I want to make sure that
you have all of the resources, all of the tools, and all of the knowledge that you need to be
successful.
This is Noelle, to your success..
