Your credit score could play a huge role in your financial success. It can determine if you qualify for a loan, how much you are eligible for, and the amount you will pay in interest. If your credit score is less than perfect—or you’re looking for ways to improve it — we are here to help with our top three tips.

Review Your Credit Reports

Your credit report holds the history of all your credit accounts. It is important to regularly verify that your credit history is accurate and to dispute any errors to the three major credit bureaus: Experian, Equifax, and TransUnion. Things to look for include credit inquiries you did not request or lines of credit that you did not apply for. If you find an error, report it immediately to the credit bureaus. We recommend you review your report annually. You can obtain one free copy of your credit report per bureau every 12 months from www.annualcreditreport.com.

Use Credit Responsibly

It’s not just about having credit; it’s knowing how to use it responsibly. For example, if you open and max out multiple lines of credit, it may cause some lenders to question your ability to handle the “sense of financial freedom” that can come with having Credit Cards. However, having that freedom comes at a price—everything you charged on that card, plus the interest. When you don’t see the money coming directly out of your account (such as with Debit Card purchases), it may be easier to overspend. Know your limits and include Credit Card purchases in your budget.

Paying Off Debt

Having some debt is okay, but too much could lower your credit score. For example, having multiple Credit Cards open with high balances could negatively impact your credit score. One way to pay off your debt would be through debt consolidation. This is where you combine multiple cards, or high-interest loans, into one single payment. You should look for a low-interest option, such as Yolo Federal’s Visa® Gold Credit Card.

Not only is making one payment easier to remember, but you’ll find peace of mind in knowing that you could save hundreds of dollars in interest when you transfer from a high-rate card to our low-rate Visa Gold. With no annual or balance transfer fees, you’ll pay even less.

• Pro Tip: Your revolving utilization has about a 30% impact on your credit score. After you’ve paid down debt, you can request a credit line increase from your card companies, which will help reduce your overall utilization and could positively impact your score. Be sure only to request an increase when you can comfortably make the payment and have a budgeting plan in place.

Having a good credit score doesn’t have to be out of reach, and luckily, you now know three easy steps you can take to help improve your credit. If you’re ready to consolidate your high-interest cards, visit our website to learn more about our Visa Gold Credit Card. To get started today, schedule an appointment with a local representative!