How to Improve Your Credit Score

Improve Your Credit Score at Union Park BMW

Buying a car from Union Park BMW or elsewhere can be stressful—especially when you don’t feel confident about your credit score. Fortunately, there are ways in which you can improve your credit score over time. Use these three tips to start making your way towards a better credit score, and in turn better financing options in the future.


Keep Your Credit Card Balances Low

One of the biggest factors that go into calculating a credit score is the ratio of debt versus available credit. The closer you are to maxing out a credit card, the worse for your credit score. The ideal ratio is to owe 30 percent of your available credit or less, so try to keep your cards paid down.


Pay On Time

Another big influence on your credit score is payment history. If you’re constantly making late payments, you’re damaging your credit score. Make sure that you pay at least the minimum amount on time which will reflect well on you in the future.


Pay Off Smaller Balances First

Having too many sources of credit negatively affects your score. If you have multiple credit cards, pay off those with the smallest balance first so that you can minimize your credit sources, which will help to improve your credit score.

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