Need a credit boost in a short period of time? There is help out there! The good news is that it’s possible to improve your credit score in 3 months and without hiring a costly credit repair company. It’s also a lot easier and more inexpensive than you might have thought. Take a look at our guide on how to improve credit score in 3 months!
Improving Your Credit Score Quickly
Your credit score is one of the most important factors affecting your financial future. You might have trouble securing a loan, renting an apartment, getting a car, or even landing a job if you have poor credit. The good news is your credit score can improve over time. There are several important steps you can take to get your credit score on the road for fast recovery. Here’s how you can improve your credit score quickly.
Credit Builder Loan
One of the surest ways to improve your credit score is by making regular payments on a loan. The problem is that it can be incredibly difficult to secure a loan if you have bad credit or no credit at all. That’s where a Credit Builder Loan comes in.
If you don’t have a credit profile yet or if you have poor credit history, you might still qualify for a Credit Builder Loan. These loans are designed to help people with no credit history or bad credit improve their scores fast. Instead of looking at your credit report to qualify you, this type of loan may use your income to estimate whether you will be able to make the payments.
You’ll be charged an APR that varies according to different lenders. Once you’ve taken out the loan, make sure to stay on top of your payments. Making all your payments on time should give your score a big boost. But be careful! If you’re late on payments, it can negatively impact your credit score.
Disputing Errors on Your Credit Report
Everybody makes mistakes – and credit bureaus are no different. It’s possible that your score has been negatively impacted because of an inaccuracy on your report. Maybe your report lists late payments that were actually on time, accounts that don’t belong to you, or other misinformation. Federal law gives you the right to an accurate credit report.
Make sure to get in touch with any of the three major credit bureaus, Equifax, Experian, and TransUnion, to obtain your report and dispute any errors. Some good advice? Only dispute true inaccuracies on your credit report. Remember to not dispute any correct information just because you want it removed or because it is negative.
Tackle Inaccuracies and Boost Your Credit Score with Help from the Experts
That’s where our partner Dovly comes in! Dovly’s credit repair solution is simple, transparent, and can make a major impact on your score – 92% of customers experience a 54-point increase in just 6 months. By automatically disputing the mistakes with all three credit bureaus, monitoring your credit, and updating your score, Dovly takes action to make sure your report is accurate and your score is climbing. Get started with Dovly here.
Pay Down Debt
Your credit utilization rate represents how much of your available credit you are using up. It’s calculated by dividing your total debts by your total available credit. The rule of thumb is that your credit utilization rate should be at or below 30%. You can lower your credit utilization rate by paying down debt. This helps improve your credit score, as it shows lenders you are responsible with your available credit line.
If you can’t eliminate all your debts entirely, at least try to make more than the required minimum payment each month. Making more than your minimum payment also helps pay off your debt faster, improves your credit score, and lowers the amount you pay in interest on the loan – ultimately saving you money in the long run.
Only Apply for Loans When Necessary
When you’re figuring out how to improve your credit score fast, it’s best to refrain from opening any new credit accounts or applying for loans. Every time you apply for credit, lenders will pull your report – which lowers your score by a few points each time. You should only have your credit pulled when you are absolutely serious about making a purchase or opening an account.
Improve Your Credit Score Fast with a Credit Builder Loan
There are many ways to improve your credit score in 3 months. Paying down debt, making payments on time, disputing errors on your report, and only applying for new loans when necessary is a good place to start. Want another boost? Apply for a Credit Builder Loan from MoneyLion.
Our Credit Builder Plus membership gives you access to a Credit Builder Loan up to $1,000 with a competitive APR. As you make consistent payments, your score will improve over time. Most members found their credit scores improved by an average of 60 points in only 60 days!
But this isn’t the only benefit that MoneyLion’s Credit Builder Loan brings. When you take this loan, you get some of your funds right away to spend on whatever you want. The rest of the loan will be saved for you in a Credit Reserve Account until the loan is paid back in full. Think of this portion of your loan funding as instant savings.
Want a head start on boosting your credit score in 3 months? Start by downloading the MoneyLion app. Create an account and follow the instructions to apply for a Credit Builder Plus Membership. There’s no credit check! Once you get your loan, you’ll be on the fast track towards improving your credit score and you’ll enjoy credit monitoring, credit advice, and more as part of your membership.