HOW TO IMPROVE YOUR BAD CREDIT SCORE
In the today's highly advanced and technological era, a mobile has become a man's ultimate necessity. According to the statistics shared on Ofcom, an independent regulator and competition authority for the UK communications industries, proportions of adults who use or own a mobile phone in UK was 93 percent in both the year 2014 and 2015. The more the need of having a mobile phone is increasing, the more expensive their prices are getting. As a result, maximum carrier companies would like to perform a credit check before they accept your proposal for a contract mobile phone.
Now if you have a bad credit history, chances are that you won't get the type of cell phone and data plan that you are aiming for. Network providers need assurance that the client has good financial history because they can't take risks by bringing someone on board whom they think won't be able to keep up with the monthly payments. Well, that's certainly not the end for you, you can turn to other avenues such as bad credit mobile phone companies like Wall Phones but meanwhile what you should try to do is to improve your credit score so that after a few months, you are able to get the deal you desire.
Below we have given some tips that can help you out in improving your bad credit score.
Analyze your situation
The first and foremost thing you need to do is to analyze your financial situation. See how much debt you are in. Having large amounts of debt on your part can ruin your image greatly. Write down all the debts that you have and make a list with the ones having the highest interest rates at the top. Pay off the ones with the highest interest rates first. This will help you in the long run and your money will be saved. For small debts, what you can do is combine them all in one loan and pay it once and for all.
Use your credit cards wisely
This is very important as this directly affects all your proceedings. Keep a fine limit between mellow spending and overspending. Try to spend more than 30 percent and less than 70 percent of your limit each month. You need to show to the provider that you are a trustworthy person and capable of spending just the right amount of money when required.
Make your payments on time
This is very important. On time payments are the best means to improve your bad credit score. Miss one payment and your credit score decreases so drastically that it leaves you dumbfounded. The more punctual you are, the longer your score improves without decreasing.
Set up payment reminders
Some banks have services named as Payment Reminders. Through their online banking portals, they send you an email or a text prior to the due date of payment, thus helping you to arrange the money and make the payment on time.
Maintain a long credit history
Basically, your credit score history indicates how trustworthy you have been over the time. Make sure you remain consistent in making payments on time and paying off your debts. If you have just started improving your score or you are a beginner, then you will have to be patient because it will take time to have a good, decent score. If you remain consistent for a longer period of time, you will see your credit score reaching a decent limit in no time.
In a nutshell, fixing a bad credit score is all about fixing the errors first in your credit history and then following the above tips to maintain it. These are not the only solutions to fixing your credit score but for starters, these are some great tips. All you have to do is be consistent. If you are still having problems even after following some of these tips, consult a professional financial advisor. However, once you get your credit score sorted, you will be able to enjoy so many perks including getting the contract mobile of your own choice. Best of luck!