What Does It Take To Get A Good Credit Score?

By Author: Elliot Spalding
Total Articles: 14
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The average credit score in the country is somewhere around 680 and to have a good credit score you need to be above this. The benefits of having a good credit score is lower interest rates on all your credit. This has the potential of saving you thousands throughout your life.

So to have a good credit score you need to be better than average. This usually sets the bar at or above 700. You should always keep in mind that this could be considered good by one creditor, but another it will not get you a better rate. Each creditor has their own lending standards they use on every loan. This means that you need to not just have a good credit score but an excellent one.

So how do you get a good credit score? One of the simplest ways is to pay your bills on time. This seems like it should be easy but so many consumers really struggle getting their payments in on time. Late payments have the largest effect on your credit score and will stay on your credit report for seven years. This gives them a lasting effect that slowly diminishes over time.

The next best practice is to pay down your debt. Carrying ...
... large balances every month will make it tough to get a good credit score. This could take time but will have a last effect on your credit score.

Also, you should limit how often you apply for new credit. Don't apply for every new credit card that comes in the mail. You should stick to a few credit cards that you have had for a long time. This will help reduce your applications for credit and maintain a long credit history.

The truth is you should not only be trying to have a good credit score but an excellent one. This is what will really pay off throughout your life. Excellent credit scores are usually at or above 730. Individuals with these scores will get the best interest rates on every line of credit.

This is not going to happen over night. You need commitment to getting a good credit score. And if you want an excellent one you will be part of the top 1 to 2 percent of American consumers.
To find out what is a good credit score visit Credit Score Insight. There you with find great infomation on how to get an excellent credit score