- 1). Check your credit report. Even if you've never had credit before, it's important that you check your credit report to make sure no one else's information has been accidentally mixed in with yours. You can obtain a free copy of your credit report from one of the three credit bureaus: Equifax, Experian and TransUnion.
- 2). Report any inaccuracies that appear on your credit report and take action to clear them immediately. Contact the credit bureau and provide it with details so it can work with you to get to the bottom of inaccurate information that may be reflecting poorly on your credit score.
- 3). Apply with your bank or credit union for a secured credit card. Secured credit cards only allow you to spend money that is already in your checking account, like a debit card, but with the added benefit of helping you build your credit score.
- 4). Apply for a loan and use a co-signer. When you apply for a loan and need a co-signer, the co-signer's good credit history acts to help boost your own credit score as long as the account remains in good standing.
- 5). Apply for department store and gas station credit cards. The standards for accepting applicants for department store and gas credit cards tend to be slightly lower, making it easier to get approved. Responsible use helps build your credit score over time.
- 6). Keep the balance on revolving lines of credit, such as credit cards, low, and avoid using your cards unless absolutely necessary. MSN Money recommends only using 10 to 30 percent of your available credit to achieve the best credit score possible.
- 7). Pay all of your bills on time every month. A single late or missed payment can lower your credit score, especially if you are reported to a collection agency. Having a checking account allows you to set up automatic bill payments, so your bills are paid on time every month.
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