1. Check Your Credit Report & Fix Any Errors

The first step you should take when rebuilding your credit score is to know where it currently stands. There are three major credit bureaus: TransUnion, Experian and Equifax. It's important to know your score from each one of these bureaus, so that you can establish a starting point to start working from. Plus, it's not too uncommon for errors to appear on your credit report, so it's best to check. You can dispute any inaccuracies on your report, though you'll have to do so separately since each report might have unique errors.

The most widely-used score used by lenders is the FICO^® Score 8. The overall range is 300-850, with poor scores falling between 300-569 and fair scores between 570-669. Anything above 670 is considered a good score. Our goal is to get you into that upper range.

2. Make Payments on Time

Your first priority for maintaining your credit score should always be making sure each payment goes through. Late payments have the greatest impact on your credit score, making up 35% of your total FICO^® score . Even if you're confident in your memory, it might be helpful to enroll in automatic payments or set reminders on your phone, so that way no payments slip through the cracks.

3. Stay Below Your Credit Limit

The second most important part of your credit score is how much credit you're currently using. This makes up 30% of your FICO^® score . We recommend that you stay below 30% of your credit limit, so that you don't make a habit of exceeding your limit. If you struggle to stay within your terms, you can always request that your limit be increased.

4. Be Patient

The final step is patience. Like the song says, the waiting is the hardest part, but rebuilding your credit takes time. However, once you begin the process, you'll be glad you did. After disputing any discrepancies and setting healthy financial habits, you'll be on your way to a better credit score! We can't wait to help get you behind the wheel of a new ride.