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How do I build up and keep a good credit score ?
I’ve been watching and reading about credit scores but I never really understood how to get good credit and keep the credit score up.
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20 answers
Updated
Patrick’s Answer
1) Always pay your utility and other monthly bills on time
2) Open 2-3 Credit Cards and consistently maintain a balance throughout the month that is no more than 20% to 25% of your credit limit on a monthly basis.
2a) Try to only use 1 of those credits cards as your primary card and maintain a $0 balance on the secondary cards. This will simplify the tracking of your month to month credit card usage and make it easier to determine if you are living above or below your means.
3) Pay your outstanding credit card balance in full by the monthly due date (do not carry over a balance from 1 billing period to the next)
4) If you have the means and need a car, then paying off a car loan on-time and/or early will help establish your long-term debt management.
5) Always setup Autopay for your monthly loans, credit cards, and utility expenses. This will go a very long way to ensure you do not miss a payment date. Some credit cards, loan servicers, and utilities will report each late payment to the credit rating bureaus.
2) Open 2-3 Credit Cards and consistently maintain a balance throughout the month that is no more than 20% to 25% of your credit limit on a monthly basis.
2a) Try to only use 1 of those credits cards as your primary card and maintain a $0 balance on the secondary cards. This will simplify the tracking of your month to month credit card usage and make it easier to determine if you are living above or below your means.
3) Pay your outstanding credit card balance in full by the monthly due date (do not carry over a balance from 1 billing period to the next)
4) If you have the means and need a car, then paying off a car loan on-time and/or early will help establish your long-term debt management.
5) Always setup Autopay for your monthly loans, credit cards, and utility expenses. This will go a very long way to ensure you do not miss a payment date. Some credit cards, loan servicers, and utilities will report each late payment to the credit rating bureaus.
Updated
Violaine’s Answer
Hi Joshua Building and maintaining a good credit score requires responsible financial habits and consistent management of your credit accounts. Start by establishing credit accounts, such as credit cards or a small installment loan, and using them responsibly. Make payments on time each month, as payment history is a significant factor in determining your credit score. Aim to keep your credit card balances low relative to your credit limits, as high credit utilization can negatively impact your score. Avoid opening too many new accounts in a short period, as this can indicate financial instability to creditors. Regularly monitor your credit report for errors or fraudulent activity and address any issues promptly. Finally, be patient and demonstrate responsible credit behavior over time, as building and maintaining a good credit score is a gradual process that rewards consistency and discipline.
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HARRIETTE’s Answer
Boost Your Credit Score with These 7 Positive Habits
Building a strong credit score may seem like a marathon, not a sprint, but with consistency and good habits, you can significantly improve your credit health over time.
1. Make Timely Bill Payments
Your payment history is the most influential factor in your credit score. Even if you can only afford the minimum payment, ensuring it's done on time can help maintain a healthy credit score.
Aim to pay your full statement balance within your grace period each month. This not only helps you avoid interest but also prevents debt accumulation.
2. Don’t Max Out Your Credit
Your credit utilization ratio, which is the percentage of your total available credit that you're using, significantly impacts your credit score. It's advisable to keep this ratio under 30% across all your credit lines. Even if you have unused accounts, maxing out a single account can still negatively affect your credit.
3. Regularly Monitor Your Credit Score
Your credit report contains important details about your credit accounts, payment history, balances, credit limits, and credit applications. Regularly reviewing this information can help you understand how to improve your score. For example, seeing a history of inconsistent payments might motivate you to be more regular. Regular checks can also help you identify signs of identity theft or account errors.
4. Maintain a Strict Budget
Budgeting plays a crucial role in credit management. Without a budget, you may be prone to overspending, which can increase your credit utilization and negatively impact your score.
Responsible use of credit cards can help build your credit over time. The trick is to adjust your budget to charge purchases and pay them off in full each month. Consistency in this practice can significantly boost your credit score.
5. Set Up an Emergency Fund
While an emergency fund doesn't directly improve your credit score, it can be a lifesaver during financial emergencies.
An emergency fund helps you avoid overusing your credit lines, such as credit cards or personal loans. Instead of increasing your credit utilization, you can use your emergency savings, avoiding interest and potential monthly repayments.
6. Apply for New Credit Only When Necessary
Each time you apply for a new credit line, the lender performs a hard inquiry on your credit report, causing a slight dip in your score. Multiple hard inquiries within a short period can raise red flags for lenders.
Instead, consider prequalification, which often only requires a soft inquiry and won't harm your credit score.
7. Be Cautious When Closing Accounts
Experts generally advise against closing credit lines for several reasons: open accounts can enhance your total credit limit, credit utilization ratio, and credit history length.
The impact of closing an account can vary depending on your credit mix. For example, closing your only credit card may cause a more significant drop in your score than closing your newest card.
Rather than closing an unused account, consider keeping it open, especially if it doesn't come with any fees.
Building a strong credit score may seem like a marathon, not a sprint, but with consistency and good habits, you can significantly improve your credit health over time.
1. Make Timely Bill Payments
Your payment history is the most influential factor in your credit score. Even if you can only afford the minimum payment, ensuring it's done on time can help maintain a healthy credit score.
Aim to pay your full statement balance within your grace period each month. This not only helps you avoid interest but also prevents debt accumulation.
2. Don’t Max Out Your Credit
Your credit utilization ratio, which is the percentage of your total available credit that you're using, significantly impacts your credit score. It's advisable to keep this ratio under 30% across all your credit lines. Even if you have unused accounts, maxing out a single account can still negatively affect your credit.
3. Regularly Monitor Your Credit Score
Your credit report contains important details about your credit accounts, payment history, balances, credit limits, and credit applications. Regularly reviewing this information can help you understand how to improve your score. For example, seeing a history of inconsistent payments might motivate you to be more regular. Regular checks can also help you identify signs of identity theft or account errors.
4. Maintain a Strict Budget
Budgeting plays a crucial role in credit management. Without a budget, you may be prone to overspending, which can increase your credit utilization and negatively impact your score.
Responsible use of credit cards can help build your credit over time. The trick is to adjust your budget to charge purchases and pay them off in full each month. Consistency in this practice can significantly boost your credit score.
5. Set Up an Emergency Fund
While an emergency fund doesn't directly improve your credit score, it can be a lifesaver during financial emergencies.
An emergency fund helps you avoid overusing your credit lines, such as credit cards or personal loans. Instead of increasing your credit utilization, you can use your emergency savings, avoiding interest and potential monthly repayments.
6. Apply for New Credit Only When Necessary
Each time you apply for a new credit line, the lender performs a hard inquiry on your credit report, causing a slight dip in your score. Multiple hard inquiries within a short period can raise red flags for lenders.
Instead, consider prequalification, which often only requires a soft inquiry and won't harm your credit score.
7. Be Cautious When Closing Accounts
Experts generally advise against closing credit lines for several reasons: open accounts can enhance your total credit limit, credit utilization ratio, and credit history length.
The impact of closing an account can vary depending on your credit mix. For example, closing your only credit card may cause a more significant drop in your score than closing your newest card.
Rather than closing an unused account, consider keeping it open, especially if it doesn't come with any fees.
Updated
Alan’s Answer
Start basic, most banks and credit card companies offer student credit cards that are easy to apply for. Use it for small purchases and pay off the balance each month. Try not to carry a balance. Good luck.
Updated
Bianca’s Answer
How about starting with a student credit card for small expenses like fuel or groceries? Remember, it's best to avoid charging anything you can't pay off right away to prevent a pile-up of credit card debt. Starting small is a great way to understand how things work and begin building your credit score. It's like learning to swim in the shallow end before diving into the deep!
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Victoria’s Answer
The infamous question! You will receive so many varying answers to this question! The best thing I have done for my credit can be boiled down to 1) pay my bills on time, 2) obtain credit (car loan, house loan, credit card -- be careful to only spend what you make on this one) that I can afford and pay it on time, 3) use websites like credit karma or experion to get tips on how to increase my credit score. Credit is largely built on having the option to leverage large amounts of credit but not utilizing it and never spending more than you make. You got this! This is a wonderful question!! As long as you are seeking advice to things like this you will be fine :)
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Tony’s Answer
These responses are all fantastic! Here's a friendly tip I'd love to share:
1) Begin by getting yourself 1 (or at most 2) credit cards. Make sure to pay off their balances every month, consistently, AND
2) Do your best not to cancel any credit cards you've been given. This is because credit agencies look at the total credit you have available (for example, the combined credit that all your credit card companies have given you). The more credit you have, the higher your credit score. However, if you open too many credit cards, it could be seen as a sign of instability and could negatively impact your score.
So, start with a couple of cards and concentrate on increasing your credit limit on those few, instead of getting a lot of cards with smaller credit limits.
1) Begin by getting yourself 1 (or at most 2) credit cards. Make sure to pay off their balances every month, consistently, AND
2) Do your best not to cancel any credit cards you've been given. This is because credit agencies look at the total credit you have available (for example, the combined credit that all your credit card companies have given you). The more credit you have, the higher your credit score. However, if you open too many credit cards, it could be seen as a sign of instability and could negatively impact your score.
So, start with a couple of cards and concentrate on increasing your credit limit on those few, instead of getting a lot of cards with smaller credit limits.
Updated
Kate’s Answer
Thank you for reaching out with your query. The first step you need to take is to make certain that your utilities and other bills are paid promptly. Moreover, it would be beneficial to open two to three credit card accounts and make an effort to pay more than the minimum required amount, or even better, clear the full balance each month. This strategy not only lessens the interest you have to pay but also gradually boosts your credit score.
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Jonathan’s Answer
Hello, best answer is to open 2-3 credit cards and rotate between use and pay them off monthly and never carry debt it you can help it. Thanks!
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Jim’s Answer
Great question. There are a ton of resources online and of course "fake" theories on credit scores. Citi has financial resources that will be very useful for you to check-out. The main page is https://www.lifeandmoney.citi.com/lam/home
How to Get and Keep a Good Credit Score - https://www.lifeandmoney.citi.com/lam/articles/money/finance-101/how-to-get-and-keep-a-good-credit-score
5 Financial Tips Every Grad Should Know - https://www.lifeandmoney.citi.com/lam/articles/money/finance-101/top_financial_tips_for_teens
How to Get and Keep a Good Credit Score - https://www.lifeandmoney.citi.com/lam/articles/money/finance-101/how-to-get-and-keep-a-good-credit-score
5 Financial Tips Every Grad Should Know - https://www.lifeandmoney.citi.com/lam/articles/money/finance-101/top_financial_tips_for_teens
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Ricardo’s Answer
a simple answer ... staying away from debt .. or adecuating your level of debt to your level of income
Updated
John’s Answer
In order to build a solid financial foundation:
1) Be diligent about paying your bills on time. This is the most effective way to maintain a high credit score.
2) Begin modestly by considering several options: a credit card with a low limit, a store card from places like Kohl's or Target, or perhaps a secured credit card where you deposit $500 to receive a card with a $500 limit.
3) Ensure that your credit card debt remains below 35% of your limit. Ideally, aim to pay off your balance every month. Maxing out your credit cards can give the impression that you're financially stretched and relying on credit to cover your basic needs.
4) Aim to diversify your credit portfolio. This could mean having a credit card for revolving credit, a car loan as an installment loan, and a mortgage.
5) Generally, the quicker you can pay off loans, the better. However, even if you've fully paid off car loans and mortgages, continue to use a credit card. This demonstrates that you're still responsibly managing credit. Completely ceasing to use credit can negatively impact your score.
1) Be diligent about paying your bills on time. This is the most effective way to maintain a high credit score.
2) Begin modestly by considering several options: a credit card with a low limit, a store card from places like Kohl's or Target, or perhaps a secured credit card where you deposit $500 to receive a card with a $500 limit.
3) Ensure that your credit card debt remains below 35% of your limit. Ideally, aim to pay off your balance every month. Maxing out your credit cards can give the impression that you're financially stretched and relying on credit to cover your basic needs.
4) Aim to diversify your credit portfolio. This could mean having a credit card for revolving credit, a car loan as an installment loan, and a mortgage.
5) Generally, the quicker you can pay off loans, the better. However, even if you've fully paid off car loans and mortgages, continue to use a credit card. This demonstrates that you're still responsibly managing credit. Completely ceasing to use credit can negatively impact your score.
Updated
Bryan’s Answer
Hi Joshua,
This is a great question and something important to learn about in order to use credit cards/loans to your advantage. The answers above are all helpful and I want to highlight a couple of them.
1) You should treat a credit just like a debit cards or cash. This means that you should only purchase things you can afford.
2) Always pay off the entire balance on time at the end of every statement period. Never carry a balance into the next month/period, as you will be charged extra money.
The easiest first step to building credit is to obtain a secured credit card from a bank (Capital One or Discover for example). Secured credit cards require you to put down an initial deposit to get the card, but this amount becomes your credit limit. This is designed to teach the cardholder how to use the card properly, as you have to put down your own money to utilize the card. Once you use the card for a few months and pay off the balance on-time, every month, the bank will return your initial deposit and you will have good experience being financially responsible and building credit. From there, the card acts like a normal credit card. Then, you can learn about other credit cards or forms of credit and continue your credit building journey!
This is a great question and something important to learn about in order to use credit cards/loans to your advantage. The answers above are all helpful and I want to highlight a couple of them.
1) You should treat a credit just like a debit cards or cash. This means that you should only purchase things you can afford.
2) Always pay off the entire balance on time at the end of every statement period. Never carry a balance into the next month/period, as you will be charged extra money.
The easiest first step to building credit is to obtain a secured credit card from a bank (Capital One or Discover for example). Secured credit cards require you to put down an initial deposit to get the card, but this amount becomes your credit limit. This is designed to teach the cardholder how to use the card properly, as you have to put down your own money to utilize the card. Once you use the card for a few months and pay off the balance on-time, every month, the bank will return your initial deposit and you will have good experience being financially responsible and building credit. From there, the card acts like a normal credit card. Then, you can learn about other credit cards or forms of credit and continue your credit building journey!
Updated
Kim’s Answer
Joshua,
Great question! Violaine covered the 3 main components of the credit rating quite well.
I belong to one of the credit monitoring services, and they say that the debt to income ratio should be below 35% . That is, debt divided by income is less than 0.35. Not very easy to do when you are young, but, a goal to strive for.
It also says that one should only use less than 30% of their available credit. Unfortunately, this means that if you get rid of a credit card, you decrease your available credit, thereby increasing the percentage of available credit you have used. It also means that if you have used a lot of credit, you can take out another credit card to reduce the percentage of available credit currently used (not recommended unless you have real good control over your spending!)
It also says that payment history makes up 35% of the score, and, stresses the importance of keeping old accounts open and not having too many new accounts.
This is one of the three credit bureaus. The other two have their own way of calculating things, which differ slightly.
Another option currently promoted to help you increase your credit rating is to report your payments for things like rent and utilities.
Since you ask about credit rating, I'm hopeful you already have a good handle on money management. That's where it all starts. The ability to control spending, prioritize needs over wants, and maintain an emergency fund all keep you from taking on too much debt. When emergencies arise, take the time to explore your options. There are some places , such as hospitals, that extend no-interest payment plans. Take full advantage, rather than using a credit card. You can also purchase furniture and appliances that way. Use caution not to over-extend yourself on these programs though, because, if you don't make the payments, the interest rates are very high.
Speaking of interest rate - always shop around for credit with the best rate, and look for cards that offer cash back on purchases.
You are to be commended for your interest in trying to figure out how the credit rating is calculated. For years I assumed all I had to do was pay my bills on time - as you can see, it's much more complex!
Best of luck to you!
Kim
Great question! Violaine covered the 3 main components of the credit rating quite well.
I belong to one of the credit monitoring services, and they say that the debt to income ratio should be below 35% . That is, debt divided by income is less than 0.35. Not very easy to do when you are young, but, a goal to strive for.
It also says that one should only use less than 30% of their available credit. Unfortunately, this means that if you get rid of a credit card, you decrease your available credit, thereby increasing the percentage of available credit you have used. It also means that if you have used a lot of credit, you can take out another credit card to reduce the percentage of available credit currently used (not recommended unless you have real good control over your spending!)
It also says that payment history makes up 35% of the score, and, stresses the importance of keeping old accounts open and not having too many new accounts.
This is one of the three credit bureaus. The other two have their own way of calculating things, which differ slightly.
Another option currently promoted to help you increase your credit rating is to report your payments for things like rent and utilities.
Since you ask about credit rating, I'm hopeful you already have a good handle on money management. That's where it all starts. The ability to control spending, prioritize needs over wants, and maintain an emergency fund all keep you from taking on too much debt. When emergencies arise, take the time to explore your options. There are some places , such as hospitals, that extend no-interest payment plans. Take full advantage, rather than using a credit card. You can also purchase furniture and appliances that way. Use caution not to over-extend yourself on these programs though, because, if you don't make the payments, the interest rates are very high.
Speaking of interest rate - always shop around for credit with the best rate, and look for cards that offer cash back on purchases.
You are to be commended for your interest in trying to figure out how the credit rating is calculated. For years I assumed all I had to do was pay my bills on time - as you can see, it's much more complex!
Best of luck to you!
Kim
Updated
Danielle’s Answer
Here's a more actionable version of your text for boosting and preserving a strong credit score:
1. Always pay your bills promptly: Delayed payments can drastically harm your credit score. Ensure you settle all your bills, including credit cards and loans, punctually.
2. Keep your credit usage minimal: Aim to utilize no more than 30% of your overall credit limit at any one time. High credit usage can signify risk to lenders and adversely impact your credit score.
3. Retain old credit cards: The duration of your credit history contributes to your credit score. By keeping old credit cards active, even if unused, you can prolong your credit history.
4. Restrict hard inquiries: Each time you apply for credit, a hard inquiry is noted on your credit report. Multiple hard inquiries in a brief period can reduce your credit score.
5. Diversify your credit: Possessing a variety of credit types (credit cards, car loans, mortgages, etc.) can enhance your credit score.
6. Regularly review your credit report: Frequently examine your credit report for inaccuracies. If you discover any, challenge them with the credit bureau.
7. Establish a credit history: For young adults just starting, it might be challenging to achieve a good credit score due to a brief credit history. Contemplate applying for a secured credit card or becoming an authorized user on a parent's credit card to help establish your credit history.
Remember, cultivating a strong credit score requires time and patience. However, with persistent good practices, you'll observe your score advancing over time.
1. Always pay your bills promptly: Delayed payments can drastically harm your credit score. Ensure you settle all your bills, including credit cards and loans, punctually.
2. Keep your credit usage minimal: Aim to utilize no more than 30% of your overall credit limit at any one time. High credit usage can signify risk to lenders and adversely impact your credit score.
3. Retain old credit cards: The duration of your credit history contributes to your credit score. By keeping old credit cards active, even if unused, you can prolong your credit history.
4. Restrict hard inquiries: Each time you apply for credit, a hard inquiry is noted on your credit report. Multiple hard inquiries in a brief period can reduce your credit score.
5. Diversify your credit: Possessing a variety of credit types (credit cards, car loans, mortgages, etc.) can enhance your credit score.
6. Regularly review your credit report: Frequently examine your credit report for inaccuracies. If you discover any, challenge them with the credit bureau.
7. Establish a credit history: For young adults just starting, it might be challenging to achieve a good credit score due to a brief credit history. Contemplate applying for a secured credit card or becoming an authorized user on a parent's credit card to help establish your credit history.
Remember, cultivating a strong credit score requires time and patience. However, with persistent good practices, you'll observe your score advancing over time.
Updated
Mithun’s Answer
Hey Joshua!
Your question is awesome! Let me break it down for you with a simple comparison. Think of maintaining a good credit score as nurturing a plant.
1. Planting Quality Seeds (Establishing Credit): Just as a healthy plant begins with quality seeds, a good credit score starts with wise credit habits. This could mean getting a credit card or a loan that you're confident you can manage.
2. Regular Hydration (Timely Bill Payments): Just as a plant needs regular watering to stay healthy, your credit score needs timely bill payments. If you neglect this, your credit score might wilt, just like a plant that hasn't been watered.
3. Avoid Overwatering (Responsible Credit Usage): Overwatering can harm a plant, and similarly, overusing credit or borrowing more than you can repay can damage your credit score. It's best to borrow sparingly and repay promptly.
4. Provide Sunshine (Maintain a Long Credit History): Just as plants need sunlight to grow strong, your credit score strengthens over time with consistent good habits, like punctual payments and responsible borrowing.
5. Weed Out Problems (Monitor Your Credit): Just as weeds can creep into your garden and harm your plants, errors or issues can creep into your credit report. Regularly checking your credit report can help you spot and resolve these issues before they affect your credit score.
By caring for your credit score like a cherished plant, you can help it flourish and thrive!
Wishing you all the best!
Mithun
Your question is awesome! Let me break it down for you with a simple comparison. Think of maintaining a good credit score as nurturing a plant.
1. Planting Quality Seeds (Establishing Credit): Just as a healthy plant begins with quality seeds, a good credit score starts with wise credit habits. This could mean getting a credit card or a loan that you're confident you can manage.
2. Regular Hydration (Timely Bill Payments): Just as a plant needs regular watering to stay healthy, your credit score needs timely bill payments. If you neglect this, your credit score might wilt, just like a plant that hasn't been watered.
3. Avoid Overwatering (Responsible Credit Usage): Overwatering can harm a plant, and similarly, overusing credit or borrowing more than you can repay can damage your credit score. It's best to borrow sparingly and repay promptly.
4. Provide Sunshine (Maintain a Long Credit History): Just as plants need sunlight to grow strong, your credit score strengthens over time with consistent good habits, like punctual payments and responsible borrowing.
5. Weed Out Problems (Monitor Your Credit): Just as weeds can creep into your garden and harm your plants, errors or issues can creep into your credit report. Regularly checking your credit report can help you spot and resolve these issues before they affect your credit score.
By caring for your credit score like a cherished plant, you can help it flourish and thrive!
Wishing you all the best!
Mithun
Updated
Michael’s Answer
Great question! Credit scores are impacted by various factors. The main one is to pay your bills on time. Paying late by 30 days can dramatically drop your score. The second is your credit utilization. Ideally, you want to pay your balances off monthly to avoid finance charges. The lower the utilization the better. If you have a $1000 credit card line and keep a high balance it can potentially lower your score. Other factors that can impact the credit score are length of credit history and the number of credit inquiries. A higher credit score is important, because when you need to finance larger purchases like a car of home you will be offered a lower rate.
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Christian Evelyn’s Answer
To establish and sustain a strong credit score, it's essential to make wise decisions from the start. Begin by obtaining a credit card, preferably a student or secured one, and use it for minor purchases. Ensure you pay off your balance completely every month to dodge interest and keep your credit usage under 30% - this means not to exhaust your card limit. If possible, request a parent to include you as an approved user on their card to aid in building your credit background. Timely bill payments are crucial, so arrange for automatic payments for recurring charges like your mobile bill or subscriptions. Retain your old accounts active to extend your credit history, but refrain from opening multiple new ones simultaneously. Each credit application leaves a trace on your report, so only apply when it's necessary. Frequently check your credit report for inaccuracies, and challenge any discrepancies. Finally, if you have student loans or other credit types, stay updated with payments to help establish a robust credit history. Remember, creating good credit is a long-term commitment, not a quick race. Concentrate on steady and intelligent practices, and you'll see your score rise gradually.
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Kevin P’s Answer
Hey there, so credit is a very confusing topic. Sometimes it really does feel they just make up a number. Also, there are several different ways credit is scored. So you could have scores that 10-20 points different from one another. Then there is revolving credit like credit cards, they can go up and down each month. And then there is s loan. It stays consistent. Like a car loan or mortgage.
So now that I’ve confused you even more, get yourself a credit card. But never use more than 30% of what is available. Better to stay around 10%. If you have a $1000 available balance then stay under $100. This builds credit.
Always pay all your bills on time. You cannot forget to pay a bill. This will hurt your score to astronomical lengths.
Don’t get too much credit too quickly. This is a marathon not a sprint. I try to never pull my credit more than twice per year through lenders. So I am strategic in the loans or credit cards I get.
Another small one, try to never close a credit card. This looks bad for a few different reasons. Hard to explain but it shows you can’t be trusted with credit because you don’t trust yourself. That may not be true or make sense but trust the process.
Lastly, remain patient. This will take a while.
So now that I’ve confused you even more, get yourself a credit card. But never use more than 30% of what is available. Better to stay around 10%. If you have a $1000 available balance then stay under $100. This builds credit.
Always pay all your bills on time. You cannot forget to pay a bill. This will hurt your score to astronomical lengths.
Don’t get too much credit too quickly. This is a marathon not a sprint. I try to never pull my credit more than twice per year through lenders. So I am strategic in the loans or credit cards I get.
Another small one, try to never close a credit card. This looks bad for a few different reasons. Hard to explain but it shows you can’t be trusted with credit because you don’t trust yourself. That may not be true or make sense but trust the process.
Lastly, remain patient. This will take a while.
Updated
Jared’s Answer
ALWAYS pay bills on time, take out a small loan before you need it and pay on time, carry a proper debt to income ratio, have a solid and long work history.