Three easy ways to improve your credit score
Your credit score can affect major goals you have set for yourself, such as buying a car or a house or even applying for a loan to start your business.
This is why it's important to maintain a good credit score at all times. If you have a poor credit score, don't panic. There are ways to pick up a falling score before you hit rock bottom. Let's look at three easy ways you can improve your credit score.
Pay off old debts
This might sound like a huge responsibility, but it is the first step to a healthy credit score. Start by compiling a list of all your payments that are due, or overdue. Then set out a budget outlining how you will fund those payments, and how many months you expect it will take.
Use credit responsibly
Closing off your outstanding debt was the first step towards healthier credit. But it's just the beginning. Now that your debt is paid, you need to start working on building healthy spending habits. Start by creating a budget for yourself. Include small day-to-day expenses and larger monthly and annual expenses. Look for ways in which you can save a few rands every month. And remember to include your credit expenses in your budget.
Check your credit report
Did you know that errors on your credit report can hurt your credit score? This is why you must check your credit report regularly and dispute any inaccuracies timeously. African Bank offers all South Africans FREE access to their credit report to help on their financial wellness journey. Click here to access your report.
It's never too late to start!
Empower yourself by taking charge of your finances this year. Start by implementing the steps shared above and work towards your financial freedom.