How to Increase Your Credit Score in 6 Months (2024)

When it comes to personal finances, knowing your credit score is extremely important. So what exactly goes into your credit file? Let’s talk about it.

Credit scoring is a complex science that’s something of a secret to the general public. While there are variations in the scores used by different credit reporting agencies, the industry-standard score is issued by FICO.

Now, the exact methods behind FICO’s calculations aren’t exactly public knowledge, but they do publish the broad categories used for scoring — along with the percentage of importance for each category. You won’t be able to predict the exact number of points you can increase your score by over a six-month period. However, you can move your score in the right direction by improving your credit behavior across the FICO scoring categories.

Want the quick and easy takeaways? Jump to them.

1. Pay on time (35% of your score)

The most critical part of a good credit score is your payment history. Unfortunately, this is the hardest to increase over a short time period — like six months.

“The longer you can make payments on time, the higher your credit score will tend to go,” according to L.A.-based CPA Jeff Gonzalez. He continues, “By the same token, the further you can put late payments in the past, the more your current payment record will stand out.”

Overall, your payment history counts for 35% of your FICO score, so this is an important area to attack if you want improvement. If you want to raise your score in just six months, make sure you keep your accounts current — missed payments are step backwards. Check in with each of your credit card issuers and other lenders to make sure you don’t miss any due dates.

The best way to mitigate missed payments and keeping your credit card accounts current? Set up automatic payments and make sure any other authorized users are on board with the plan!

2. Reduce your debt (30% of your score)

The amount of debt you have is nearly as important as your payment history when it comes to your credit score, clocking in at 30% of your FICO score. The good news? This is likely to be the easiest way to improve your score over a short time period.

“For maximum effect,” notes Gonzalez, “just pay off your debt.” When you pay down debt, your score improves not just because of your reduced debt level, but also because of lowered credit utilization, or the amount of available credit that you currently use.

If you reduce your credit utilization from 80% to 10% or less, for example, you should see a major bump in your score.

For example, if you have two credit cards that each have a $3,000 maximum, that’s a total of $6,000 you could borrow. Instead of maxing those cards out, keep them to no more than $600 total between the two of them, which is 10% of that $6,000.

Sticking to this can keep you away from bad credit — so keep your credit card balances in check!

Gonzalez also recommends asking for a credit limit increase if you can’t manage to pay down your credit card debt right now. “Raising your credit line automatically decreases your credit utilization, so it’s a nifty way to help your score without costing you a dime.”

3. Keep cards open over time (15% of your score)

Keeping cards open, even if you don’t plan on using them, does a couple of great things to build credit. First, it keeps your total credit limit higher, which makes it easier to use just 10% of that total.

For example, let’s say your total credit limit across all your cards is $12,000. You can borrow up to $1,200 and still only be at 10% of that total. But if you close one of those cards that has a $3,000 limit, your total limit drops to $9,000. You’d have to keep your balances below $900 instead of below $1,200. So keep those cards and credit lines open!

Additionally, 15% of your FICO score is based on the length of your credit history. If you close an account you’ve had for a while, you lose that history. While you can’t change the total length of your credit history overnight, keeping your lines of credit open over the next 6 months will give you a credit history that’s 6 months longer than it was before — just don’t close any older accounts during that time.

4. Avoid credit applications (10% of your score)

Although new credit only accounts for 10% of your FICO score, credit inquiries knock an immediate 5 or 10 points off your score. If you’re trying to improve your credit score, the last thing you want to do is open new accounts.

“You may get a small bump from the decreased credit utilization ratio that results from a new credit line, but the fresh credit inquiry is likely to counteract that gain,” says Gonzalez.

Things like car loans and store cards count too, so if you want to raise your credit score, try not to take out a new car loan or apply for new credit cards. Do your best to put off new purchases that would require new credit. Instead, save up the cash you need ahead of time wherever you can.

Remember, this is only affected by “hard inquiries” that actually hit your credit. You can check your own credit score as often as you like, but if a store or other lender checks it because you’re interested in a credit card or a loan, that can hit your credit score even if you decide not to take their offer. Plus, once that hard inquiry is in your credit record, it will stay there for 2 years.

5. Keep a smart mix of credit types open (10%)

The last 10% of your score has to do with your credit mix — because credit comes in 2 basic types:

  1. Revolving credit — flexible credit you can use when you want to, like credit cards and store cards
  2. Installment loans — loans for a set amount that you pay off over time, like car loans and student loans

Ideally, creditors like to know that you have a good track record managing both kinds of debt, but you don’t want to open new credit accounts or loans to “fix” this one. Remember, applying for a new loan will often hurt your credit score more than it will help, and your mix of credit is only about 10% of your credit score.

What you can do is choose wisely when you’re paying off your debt:

  • Paying down high-interest credit cards is great! That lowers your debt while keeping your max credit limit up there, so go ahead and pay those off as quickly as you can. Remember, they’ll still be open even if you pay them off.
  • For debt with lower interest rates, like auto loans, you don’t need to be in a hurry. Keep paying your monthly minimums, but attack those high-interest credit cards first.

Quick and easy takeaways

Want a quick and easy place to start? Do this for the next 6 months:

  • Pay your bills on time
  • Work on paying down your credit cards — but don’t close them

Stay patient and stick with it

A good credit history is based on the responsible use of credit over time. While you can certainly take steps to improve your score in as little as 6 months, major moves upward generally take longer. Patience and responsibility (like making your monthly payments) are key here.

This is particularly true if you already have a spotless credit history. Since you already score well in the major FICO categories, improving that score by more than a few points can be difficult in a short time.

On the other hand, having a negative credit history can drag down your score for as long as a decade: for example, filing bankruptcy stays on your credit report for 10 years. If you have this type of negative information on your credit report, there’s no way to simply remove it in the short term.

Still, credit scores are weighted toward more recent behavior. You can help counteract any negative information, which diminishes in effect over time, by being a model borrower for as long as possible, committing to credit monitoring, making on-time payments, and continuing to practice good financial habits.

How to Increase Your Credit Score in 6 Months (2024)

FAQs

How to Increase Your Credit Score in 6 Months? ›

Depending on your unique financial situation, it can take anywhere from one month to a few years to improve your credit score. Improving your credit score isn't something you can achieve overnight, but don't let that dishearten you. Every credit score can be improved with a little commitment and perseverance.

How to raise credit score in 6 months? ›

15 steps to improve your credit scores
  1. Dispute items on your credit report. ...
  2. Make all payments on time. ...
  3. Avoid unnecessary credit inquiries. ...
  4. Apply for a new credit card. ...
  5. Increase your credit card limit. ...
  6. Pay down your credit card balances. ...
  7. Consolidate credit card debt with a term loan. ...
  8. Become an authorized user.

Is 6 months enough to improve credit score? ›

Depending on your unique financial situation, it can take anywhere from one month to a few years to improve your credit score. Improving your credit score isn't something you can achieve overnight, but don't let that dishearten you. Every credit score can be improved with a little commitment and perseverance.

Can you raise your credit score 200 points in 6 months? ›

It may take anywhere from six months to a few years to help raise your score by 200 points depending on your financial habits. As long as you stick to your credit-rebuilding plan and stay patient, you'll be able to help increase your credit score before you know it.

How to go from 400 to 700 credit score? ›

  1. 1. Make On-Time Payments. ...
  2. Pay Down Revolving Account Balances. ...
  3. Don't Close Your Oldest Account. ...
  4. Diversify the Types of Credit You Have. ...
  5. Limit New Credit Applications. ...
  6. Dispute Inaccurate Information on Your Credit Report. ...
  7. Become an Authorized User.
Jun 4, 2024

How fast can I add 100 points to my credit score? ›

Here are 10 ways to increase your credit score by 100 points - most often this can be done within 45 days.
  • Check your credit report. ...
  • Pay your bills on time. ...
  • Pay off any collections. ...
  • Get caught up on past-due bills. ...
  • Keep balances low on your credit cards. ...
  • Pay off debt rather than continually transferring it.

How to boost credit score overnight? ›

4 tips to boost your credit score fast
  1. Pay down your revolving credit balances. If you have the funds to pay more than your minimum payment each month, you should do so. ...
  2. Increase your credit limit. ...
  3. Check your credit report for errors. ...
  4. Ask to have negative entries that are paid off removed from your credit report.

How quickly can your credit score go up? ›

The length of time it will take to improve your credit scores depends on your unique financial situation, but you may see a change as soon as 30 to 45 days after you have taken steps to positively impact your credit reports.

Can your credit score go up 50 points in 6 months? ›

50 points in 6 months is a bit tricky, but possible. Try these things: If you have debt on your credit cards, pay the balance down as much as possible, while keeping the cards open. If you don't have credit cards, consider signing up for a secured credit card (if your score is below 620).

Is it possible to get a 720 credit score in 6 months? ›

Achieving a 720 credit score in just six months might sound ambitious, but with the right strategy and tools, it's a goal that's well within reach for many.

What's the most a credit score can go up in a month? ›

There is no set maximum amount that your credit score can increase by in one month. It all depends on your unique situation and the specific actions you're taking to improve your credit.

How to raise fico score fast? ›

Steps to improve your FICO Score
  1. Check your credit report for errors. Carefully review your credit report from all three credit reporting agencies for any incorrect information. ...
  2. Pay bills on time. ...
  3. Reduce the amount of debt you owe.

How to ask for late payment forgiveness? ›

A goodwill letter is a formal letter to a creditor or lender, such as a bank or credit card company, to request forgiveness for a late payment or other negative item on your credit report. In the letter, you typically: Explain the circ*mstances that led to the late payment or issue.

Is 650 a good credit score? ›

As someone with a 650 credit score, you are firmly in the “fair” territory of credit. You can usually qualify for financial products like a mortgage or car loan, but you will likely pay higher interest rates than someone with a better credit score. The "good" credit range starts at 690.

Why did my credit score go from 524 to 0? ›

Credit scores can drop due to a variety of reasons, including late or missed payments, changes to your credit utilization rate, a change in your credit mix, closing older accounts (which may shorten your length of credit history overall), or applying for new credit accounts.

What credit score is needed to buy a house? ›

A good credit score to buy a house is one that helps you secure the best mortgage rate and loan terms for the mortgage you're applying for. You'll typically need a credit score of 620 to finance a home purchase. However, some lenders may offer mortgage loans to borrowers with scores as low as 500.

Can I get a credit increase after 6 months? ›

Lenders may have specific requirements regarding when you can ask for a higher credit limit. Typically, credit accounts that have been open for more than three months are eligible for an increase.

How to go from 600 to 750 credit score? ›

6 easy tips to help raise your credit score
  1. Make your payments on time. ...
  2. Set up autopay or calendar reminders. ...
  3. Don't open too many accounts at once. ...
  4. Get credit for paying monthly utility and cell phone bills on time. ...
  5. Request a credit report and dispute any credit report errors. ...
  6. Pay attention to your credit utilization rate.

How to get an 800 credit score in 1 year? ›

To reach an 800 credit score, you'll want to demonstrate on-time bill payments, have a healthy mix of credit (meaning accounts other than just credit cards), use a small percentage of your available credit, and limit new credit inquiries.

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