Tuesday, July 25, 2023

Improve Your Credit Score with These 3 Tips

Your credit score is one of the major factors taken into consideration when buying a home. Our Lake of the Ozarks mortgage lender has over 20 years of experience in the mortgage industry. We help a wide range of home buyers complete their home purchases each and every day. While your credit score isn't the only factor that impacts your buying power, it's an important factor that you can work to improve as you prepare to buy a home near Lake Ozark, MO

1) Focus on Making Payments On Time

Timely payments on your bills can have a positive impact on your credit score. We understand it can be tough to keep up with payments that pile up, but it's important to adjust your budget accordingly to ensure you are able to make your payments by the due date each month. 

2) Prioritize Paying Down High Credit Balances

Credit usage is a major factor that is used to determine your credit score. It's best to keep your credit usage below 30% of your total credit limit, if possible. That means you should try to keep your credit card balances under 30% of the credit limit. Evaluate your current lines of credit and see where changes can be made to pay down higher debts to get you closer to that 30% or under range.

3) Avoid Making Changes to Credit Accounts

A new line of credit may temporarily cause your credit score to drop. Try to avoid opening a new line of credit, unless you've been advised by a professional to do so. In some cases, a new line of credit may make a difference in the long run to improve your score. Also, avoid consolidating debt or closing out old accounts that are tied to your credit. That kind of activity can temporarily lower your credit score. 

Team Lasson is here for all of your home buying needs! If you're thinking about making the leap into home ownership in the near future, consider the above tips to improve your credit score. The first step in preparing for your big purchase is to get pre-approved for a mortgage at Lake of the Ozarks. To get started, visit www.yourlakeloan.com or give us a call at (573) 746-7211!

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Michael Lasson
Senior Loan Officer
NMLS #: 493712

First State Bank Mortgage – Michael Lasson 
2751 Bagnell Dam Blvd Suite B 
Lake Ozark, MO 65049

**The postings on this site are my own and do not necessarily represent First State Bank of St Charles’s positions, strategies, or opinions.