Question

In order to locate the right kind of financing for your need, you should find out your own credit worthiness. Determine your credit score.

Answer 1

ANSWER DOWN BELOW. FEEL FREE TO ASK ANY DOUBTS. THUMBS UP PLEASE.

Your creditworthiness is determined by your credit score.

Factors which determines your credit score.

1. 35% of your credit score determined by your payment history.
2. 30% of your credit score determined by how much you are in debt that is by your current loans and credit card debt.
3. 15% of your credit score determined by your discipline to make timely payments.
4. 10% of your credit score determined by your type of credit you have availed.
5. Rest 10% of your credit score determined by your Recent credit activities.

The ways to build your credit score are:
1. Pay down your existing debt & it's recommended to keep balance 30% below your credit limit.
2. Make extra payments in a billing cycle, so that your utilisation looks low when the balance is reported to the bureau. Few small payments are better than one large payment.
3. Request for increase in credit limit. It will Effectively help you lower your utilisation percentage of the credit limit.
4. Become an authorized user on another person credit card who had a good credit history. It will help you build your reputation.
5. Open a credit-builder account.
6. Get a secured credit card and do timely payments.