FICO is the main credit scoring company for most Americans, serving almost every bank, lender, and financial organization. Although they may be the giant in the industry, they’re extremely secretive when it comes to how they actually calculate your credit scores. Until now. There have been several nuggets of information leaked from former FICO employees and credit industry insiders about the best ways to increase your scores.

BECOME AN AUTHORIZED USER ON SOMEONE ELSE’S CREDIT CARD.
Once you’re authorized, the new positive trade line will show up on your credit as if you’ve had it for the duration.

DISPUTE IT
When it comes to small accounts that damage your credit score, it makes sense to dispute them with the credit bureaus, which gives you the chance of getting incorrect, outdated, or just negative information off your credit report.

ADD MIA ACCOUNTS.
A surefire way to build your credit is to add positive accounts that aren’t currently being reported, like cell phones, Internet, cable, utility, and medical bills.

CRACK THE SECRET REPORT DATE CODE.
Of course it’s easy for consumers to know when their credit card or loan’s Due Date is and pay on time, but few people are aware of the Report Date, the day every month when they send their information into the credit bureaus and FICO. So call your creditor, ask them what day they report, and make sure to pay your accounts off or down before that date – not the due date.

LOWER YOUR CREDIT UTILIZATION RATIO.
FICO calculates a significant portion of your score by your credit utilization ratio – how much debt you keep to how much your total available balances are. Common advice is that you should keep that ratio at or below 30% but FICO insiders now confess that 10% or less is actually a better ratio to maintain, and will boost your score.

REQUEST AN INCREASE.
If you aren’t in a position to pay down your debt, you still might be able to improve your credit utilization ratio. You can call your credit card companies and request a credit line increase. If granted, it will improve your ratios and raise your credit score – as long as you don’t use it. If you have any questions about the credit score or to schedule a Risk Free Consultation, please contact Blue Water Credit at 916-315-9190 or contact@bluewatercredit.com