
Keep up your payments to build strong credit histories. This will make it easier for you to qualify for lower interest rates on balance transfer or unsecured credit cards, which you may need in a pinch. You will also be eligible for favorable rates on your mortgage and car loans. A good credit rating will help you qualify for lower car insurance rates. In addition, some landlords will check your credit score in order to screen potential tenants.
Pay bills on time
Paying your bills on time is important if you want to avoid late fees. Late fees add up quickly, and it can be difficult to plan your monthly spending. This can snowball into a cycle where it becomes nearly impossible to pay your next bill. Fortunately, there are ways to make paying your bills on time a habit.
Make sure to set up electronic reminders for your bills so you always know when they are due. These reminders should be scheduled at least 5 business days before due dates. This will ensure that you don't miss payments due time zone differences.

Keep balances low
Your credit score can be improved by keeping your balances low. Experts suggest that you keep your balance below 30% of your credit limit. It is also better to pay off debt than to transfer it to another account. You can improve your credit score by paying down your debt each month.
Your FICO(r), which is a measure of credit utilization, makes up about 30%. If your credit utilization ratio exceeds 30%, it is an indicator that you are financially dependent. Conversely, a low credit utilization ratio means you don't depend on your credit card as your main source of income.
Maintain a strong credit history
A long credit history is a key aspect of building credit. Your credit score will be based on a number of factors including your payment history, and the amount owed to lenders. You can build a strong credit history by paying your bills on time, and keeping your credit utilization rate low.
Your credit score is 15% based on the length of your credit history. Credit accounts that have been in existence for over two years can improve your credit score. Repay any past due credit card accounts. Having a long credit history will help you get a lower interest rate on loans and credit cards.

Lower utilization is better
It is important to keep your credit utilization ratio (Credit Utilization Ratio) low when trying to improve credit scores. Although it may seem hard to keep your credit utilization ratio below 30%, there are simple steps you can follow. You will have better financial health overall if your utilization rate is lower. Additionally, credit will be available when you need.
It is important to apply for credit cards with higher credit limits as the first step. A new account will increase your credit limit and decrease your credit utilization ratio. This step won't necessarily improve your credit score. Opening another account will only increase your total credit limit, which will negatively impact your score.