How To Painlessly Improve Your Credit

If you’re thinking about buying your first Knoxville home this year, credit is important. Your credit will determine what loans you may be eligible for or if you are eligible for any loans at all. If you’re credit is not quite where it should be, here is how to painlessly improve your credit to make buying a home possible.

First and foremost, pay your bills on time. Your credit will only improve if you continue to pay your current bills on time. One or two late payments will ding away at your credit.

In addition, if you have a lot of outstanding debt, work on paying that down slowly but surely. It is important that you keep you debt levels below 30% of your overall credit line. Using more than 30% of your credit line, it may seem like you are unable to responsibly use your credit.

In order to start rebuilding your credit, it can be helpful to open a new account or two to start rebuilding your credit. Use these account in moderation and pay them off quickly to show that you can use the credit responsibly.

If you are unable to open a new line of credit on your own, consider get a secured credit card or having a family member co-sign with you. A new line of credit that is used in moderation and paid off will show that you responsibly use your credit.

Finally, be patient, you’re credit won’t improve overnight. But, if you are careful at keeping debt levels low and work on paying off your debt, your credit will rebound.

Are you thinking about buying your first Knoxville home for sale this year? If so, do not hesitate to give Knoxville Home Team a call today. Rick can be reached at 865-696-9002 or via email at Rick@KnoxvilleHomeTeam.com. Kati can be reached at 865-696-1888 or via email at Kati@KnoxvilleHomeTeam.com. We’ve helped countless first time buyers find the perfect home for them and we’d love to help you do the same!