Hello again, and welcome back to the First Centennial Mortgage video blog. Previously, we’ve talked about what a low credit score means for your mortgage application. Now, we’ll look at a few tips to boost your credit score.
For starters, do you know what’s in your credit report? Many low scores are connected to report errors – so make sure you get your report and follow up on any discrepancies with the reporting agency.
Next, look at your debt and your income. This ratio is key in any mortgage application. You don’t want to carry too much debt, while on the flip side you need some to prove you’re a reliable borrower. So, pay your credit balances and keep your overall balances as low as possible.
Finally, a smart tip is to keep any paid debt on your report. For example, you paid off your car loan. Don’t call the reporting agencies to have it removed. This history will show lenders that you have a firm grasp on debt management.
Thanks for tuning in to the First Centennial Mortgage video blog, and check back soon for more tips and tricks.