Having a credit card isn’t a bad thing. Your credit score does influence whether or not you get approved for a credit card, but there are ways around it. For example, you can sign up for a secured credit card. A secured credit card requires you to deposit money into a savings account, usually around $200, and you will receive that deposit back once your balance is paid in full. The interest rate is low, usually around 15%, and it builds credit.

6. Pay Your Rent On Time

Your landlord may report your rent payment to your credit bureau. If you are late paying your rent, this will hurt your credit score. Being late on rent payments is considered a late rent payment by credit bureaus. This can also hurt your credit score, so ensure you pay your rent on time.

7. Pay Off Student Loans

Paying off student loans is one of the best ways to increase your credit score. In general, the Department of Education reports that student loans are the largest debt held by 3 out of 4 Americans. Paying off student loans allows you to begin building your credit, and it instantly makes your credit score go up.

8. Keep A Low Credit Utilization

Your credit utilization is the percentage of available credit you use. For example, you have a credit card with a $300 credit limit. You spend $50, which leaves you with a $250 balance. Your credit utilization is 50%. The best way to keep your credit utilization low is to keep a balance on your credit card. If you’re unable to pay off the balance, keep the balance low.

9. Check Your Credit Reports

The best way to increase your credit score is to keep an eye on it. You can do this by pulling your credit reports once a year. You can pull your credit report for free once a year from AnnualCreditReport.com. When you pull your credit report, make sure you check for any errors. Errors on your credit report can cause your credit score to drop, so ensure you check for any errors.

10. Keep Making Payments On Time

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