What Happens When I Improve My Credit Score?

If you have been working at repairing your credit, congratulations! Your credit score should have improved nicely in the months you have been paying all your bills off diligently. Hopefully, you have been obtaining copies of your credit score as you go along so that you were able to track your score as it went up.

If your score has improved to the point where it is 700 or more, and you still owe money on some credit cards, you may want to think about calling the credit card companies and letting them know what your credit score now is. It is possible that they could lower your interest rate, and if so, this will give you even less to pay off. The companies will not do this on their own – you have to ask them.

You should also contact your car insurance and home insurance once your credit score has improved, as your state may be one of the ones that will still let the insurance companies charge a premium that is based on a person’s credit rating. It won’t hurt to check, and it could save you some money on your insurance premiums.

Now that your credit score is higher, why not think about refinancing your car or your mortgage loan? More than any other kind of loan, car and home loans seem to be more affected by credit scores. Since these are more than likely the two largest bills that you are paying, it would be to your advantage if you could get the payments on them lowered. It never hurts to ask, but you must know that there is something that could keep you from being able to refinance your home or your car. If you do not owe less on your car or your home than what they are worth, you probably will not be able to finance either one. Think carefully before refinancing your home, as it is not free to do, Make sure that the amount it costs will be something you can handle.

If you previous credit score kept you from getting into the home or the apartment that you wanted to rent or lease, now is the time to try again, armed with your better credit score. And, if a low credit score kept you from getting that job that you wanted, try for a similar position at another company.

You may receive telephone calls from collection agencies after you have improved your credit score. Some shifty collectors know that people will pay a bill in a hurry to keep from damaging their freshly repaired credit, and they may try to spring someone else’s bill on you. Don’t fall for this! Make sure you get a copy of the bill in question to make sure it belongs to you before paying anything. And, if it is yours, pay it promptly. This will improve your credit score even more!

Recent additions:

• The Best Time For Credit Repair
• The Fair Credit Reporting Act
• How to Write A Credit Repair Letter
• How To Read A Credit Report
• Improving Credit Score
• Fixing Your Credit Even After Bankruptcy

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