A credit report can have implications on far off places that one wouldn’t even be able to estimate sometimes. Therefore, the best bet that any of us can have to avoid unnecessary complications in unexpected places is to make sure we have a great credit score. While a bad credit score is a matter of concern, it is not the end of everything as it can be improved with sustained and consistent efforts. Various things can be done to build up a good credit score.

Following are 7 ways to go about it:

• Cleaning up the credit report
  TransUnion, Equifax, and Experian are the three biggest credit reporting bureaus in the country. While trying to improve your credit score, the first course of action would be to request a free report (provided once each year by each of the three bureaus) and review it carefully. Any mistakes or errors which are spotted in this report should be disputed immediately. Doing so will not only improve your credit score but also reduce any complications in the future. Once the false report is removed from your profile, the credit score will improve.
• Clear your dues
  Clearing your dues can also help improve your credit score. Amongst multiple credit cards, start by paying the bills of ones that have reached their credit limit or have high-interest rates. Doing so can reduce the credit utilization rate that can help lift the score. Drafting out a plan to pay off the debts on these cards can help in developing better habits.
• Payment frequencies
  If you are maxing out on the cards every month, just paying off your dues is not enough as it can give the impression that the card is being overused. In this case, paying the credit card dues once every two weeks can be a helpful tactic. Doing so will show a lower credit utilization rate when the credit card companies send your report to the credit bureaus for examination.
• Negotiating with the creditors
  In the face of inevitable situations that lead to delayed payments, the best bet would be to reach out to the creditors. Negotiating with the creditors regarding the outstanding balances and providing assurance about the repayment of the outstanding balance in written format might yield positive results. You could also request the creditors to erase the account that went to the collections.
• Getting a new credit card
  This can be done if only one credit card is being maintained by you at the moment. Adding one credit card with responsible below-the-limit spending and timely payments can help your case and improve the score.
• Requesting a credit limit increase
  In the situation where paying off credit card dues every month is difficult, you could request an increase in the credit limit. This would result in improving the credit utilization rate and improve the individual’s credit standing.
• Becoming an authorized user
  If there is someone close to you who maintains a good credit score and trusts you, you can become an authorized user on their card. This will help in establishing a good credit standing.