So, how do you maintain good credit? You may know the top five factors that contribute to your credit score (payment history, outstanding debt, length of your credit history, time since new credit accounts opened, types of credit used), but it still may be hard for you to obtain and maintain a good credit score.

First, it is important that you obtain credit as early as possible. The longer you have had credit, granted that it is good credit, the better your credit score will be. A good suggestion is to obtain a credit card during high school, and to merely use it to pay off your gas bills every month.

Second, you should try to use different types of credit. Some such examples are using both revolving credit and installment loans. However, another good way to use more sources of credit is to obtain department store and gas store cards. Whilst it is good to use more than one type of credit, you must make sure that you maintain an amount of credit and charge cards within your personal budget. Also, do not open any credit cards that you will not use, or do not need.

Third, try to use only the credit you have, and do not continually get new types of credit. When applying for a loan, the creditor will see recent applications for new credit as sings that you “needed money;” this is something the creditor does not want to see.

Fourth, be sure to check your credit report. Your credit report contains all of the information used to create your credit score. If it contains errors, it is crucial that you dispute them. In particular, check to be sure that there are no late payments listed that are incorrect, and that the amount of money the report says you owe for each account is correct.

Fifth, pay your bills in a timely manner. Make sure to make all of your payments on time, and try to keep each account at or below 25% of the credit limit. This is the most important tip for maintain good credit history, because payment history is the most important factor in determining your credit score. If you are having trouble remembering to make your payments, check to see if your bank offers automatic payment reminders, Many banks today offer reminders via email or text. If you do not wish to receive payment reminders, you can also enroll in a program of automatic payment with your credit card.

After following these tips and guidelines, you should be able to maintain a good credit score. However, it can still be rather overwhelming. So, if you are overwhelmed by your credit, or do not know how to proceed, Vivix Credit Solutions can help you. A licensed Credit Service Organization; Vivix Credit Solutions can help you to manage, and to maintain, a good credit history.