A high credit score isn't necessarily a bad thing. You may be denied credit for past mistakes. Diane Elizabeth was rejected for credit due to two late payments she made on her credit card in the last five year. After contacting the bank and reapplying, she was successful.
Low credit utilization
Credit utilization ratios that are too high can cause credit score problems. There are many options to lower your credit utilization. First, make sure you are not maxing out your credit cards. High credit utilization can be caused by using credit cards beyond their limits.
You can have one type of credit
Your credit mix (or combination of various types of debt) has a significant impact on your credit score. This is about 10% of the overall score. Your score will be lower when you have just one type of credit. You can improve your score by using other types of credit or reducing your utilization.
Late payments
Your credit score might be negatively affected if there are regular late payments. There are many ways to avoid late payments and improve your credit score. Pay your past due debts promptly and catch up on them if possible. While this won't erase previous late payments, it will raise your payment history.
Multiple credit cards
Having several credit cards is a great way to raise your credit score, but you should also know the risks involved. You could appear as a risk by using more than one credit card. This can cause you to be more in debt and subject to hard credit checks. This could not only lower your credit limit, but also hurt your credit score. It is best to only have one or two credit accounts with zero balances. So you only have to use them when you need them.
Credit history that is long
The length of your credit history is an important factor in your credit score. Because your credit score will rise the more you have credit history. The number of accounts you own is also a factor. A longer history means you are less likely to miss payments. Closing old accounts can decrease the length of your credit history, but it will also lower your average age. Your credit score will be affected by how old your last account was.
Having a good payment history
Credit score is affected by your payment history. You'll see a rise in your credit score if you make your payments on time. Your score can be hurt if you make late payments. It is important to note that late payments from older accounts can affect your score.
Keep track your debt
Credit repair is only possible if you keep track of your debt. Your credit utilization is the basis of a third your FICO score. Your score may be affected if you have too much debt.