Best Way To Build Credit?

Hi Jeremy, Well to start off. Applying for credit cards and getting a few is the first step if you dont already have some. Paying your bills always on time is a must. Keeping your entire overall debt to overall credit limits under 30% is also a must. Dont apply for too many loans/cc as this will lower your score. Credit history is a big piece of the score so paying on time on several different cards looks good over a few years time. Take these steps for the next few years and id say youll be in a pretty good situation for your fico score. just always remember dont be late and dont over use and max out you cc.

and to piggyback on that: there's no need for you to charge large amounts and then be forced to pay large sums of interest each month.

you can simply use credit cards as the convenience they are, by charging an item a month and paying it off when the bill arrives. in that way, you avoid paying interest altogether; and you can continue in that mode for as long as you wish.

Yes thats very true george. I will add to that in this current economy that inactive cards that you dont use often is a bad thing as most will cut down your limits or just close the account if there is no balance which will lower your score and may ruin it. Just charge something here and there and pay at the end of the month as george has stated above.

65% of your credit report depends on the history of your payment and the amoutn you owe and rest 35% come from type of credit and new credit and oen mroe item.

If you have any debt try to pay it off as agreed and try not to apply for any new cards or loans.

If possible have different types of credit ( Credit card, Store card, Car loan etc). Do nto do that if you have lower score now.