A good credit score can help you qualify for the best interest rates and terms when buying a house. Here we give you some tips on how to boost your credit scores before applying for a mortgage.

Setup payment reminders

  • Delinquent payments, even if only a few days late, can have a negative impact on your credit. Consider setting up payment reminders for your accounts.

 

Reduce the amount of debt you owe

  • This is easier said than done, but reducing the amount that you owe is going to be a far more satisfying achievement than improving your credit score. Setup a budget and start paying off your high interest rate credit cards first and when you’ve paid the entire balance, proceed to pay off the next card.

 

 Don’t close unused credit cards as a short-term strategy to raise your scores

  • Once you payoff those credit cards. Don’t close them! That also has a negative impact on your credit scores.

 

Check your credit report

  • Credit reports may contain errors that can be easily fixed. Obtain a recent credit report and check it for errors. If you do find errors, these can be easily disputed with the credit bureau.

 

YHN Mortgage is committed to helping you achieve the dream of homeownership. Call us today and we can provide you with more tips on how to boost your credit scores.