How to Raise Credit Score by 20 Points

How to Raise Credit Score by 20 Points

Your credit score plays a vital role in determining your financial health and ability to secure loans and credit cards. A good credit score not only makes it easier to get approved for credit but also allows you to access better interest rates and favorable terms. If you’re looking to increase your credit score by 20 points, here are some effective strategies to consider.

1. Pay Your Bills on Time: Late payments can significantly impact your credit score. Make it a priority to pay all your bills on time, including credit card bills, loan repayments, and utility bills. Consider automating bill payments to avoid any oversights.

2. Reduce Credit Utilization: Credit utilization refers to the amount of credit you’re using relative to your credit limit. Aim to keep your credit utilization below 30%. If you have multiple credit cards, try to spread out your balances evenly rather than maxing out a single card.

3. Correct Credit Report Errors: Regularly review your credit report for errors and discrepancies. Inaccurate information can negatively affect your credit score. If you spot any errors, contact the credit reporting agencies to have them corrected.

4. Increase Credit Limits: Requesting a credit limit increase can help improve your credit utilization ratio. However, ensure that you don’t fall into the temptation of using the extra credit, as it may lead to more debt if not managed responsibly.

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5. Diversify Your Credit Mix: Having a healthy mix of credit accounts, such as credit cards, loans, and mortgages, can positively impact your credit score. If you only have credit cards, consider diversifying your credit mix by applying for a small loan or a secured credit card.

6. Keep Old Accounts Open: The length of your credit history has a significant impact on your credit score. Closing old accounts may shorten your credit history, negatively affecting your score. Instead, keep them open and use them occasionally to maintain an active credit history.

7. Avoid Frequent Credit Applications: Each time you apply for new credit, a hard inquiry is added to your credit report, which temporarily lowers your score. Minimize unnecessary credit applications and only apply for credit when needed.

8. Pay Off Outstanding Debts: Reducing your outstanding debts can have a positive impact on your credit score. Focus on paying off high-interest debts first, such as credit card balances, and gradually work towards paying off other outstanding loans.

9. Use Credit Monitoring Services: Consider signing up for credit monitoring services that provide regular updates on your credit score. These services can help you track your progress and identify areas for improvement.

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10. Practice Patience: Building credit takes time and consistent effort. Be patient and continue practicing good credit habits. Over time, your credit score will gradually increase.


1. How long does it take to raise credit score by 20 points?
Raising your credit score by 20 points can vary depending on your individual circumstances. However, with consistent efforts and responsible credit management, it is possible to see improvements within a few months.

2. Will paying off a collection account increase my credit score by 20 points?
Paying off a collection account can positively impact your credit score. However, the exact increase will depend on various factors, including the age of the collection account and your overall credit history.

3. Can disputing credit report errors help raise my score by 20 points?
Correcting credit report errors can potentially increase your credit score, especially if the errors are significant. However, it’s important to note that the impact may vary from person to person.

4. I’ve recently opened several new credit accounts. Will this affect my ability to raise my score by 20 points?
Opening multiple new credit accounts within a short period can temporarily lower your credit score due to the increased number of hard inquiries and reduced average account age. However, as you manage these new accounts responsibly over time, your score can recover and even improve.

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5. Should I close old credit accounts to raise my score by 20 points?
Closing old credit accounts can potentially harm your credit score, as it shortens your credit history and reduces your available credit. Unless there are specific reasons to close an account, such as high fees, it’s generally advisable to keep them open.

6. Can using a credit repair company help raise my score by 20 points?
Credit repair companies claim to improve credit scores, but their services are not always necessary or effective. Many of the strategies they use, such as disputing accurate information, can be done independently. It’s crucial to research and choose reputable companies if you decide to seek their assistance.

7. Will consolidating my debts increase my credit score by 20 points?
Consolidating debts can simplify your repayment process but may not directly increase your credit score. However, by managing your consolidated debts responsibly and making timely payments, you can gradually improve your credit score over time.

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