How to Maintain A Good Credit Score

By Tevait Feanle •  Updated: 01/23/24 •  5 min read

Once you begin your credit score journey, it maintenance can be the frustrating part of it. Obtaining and maintaining are closely related but they have their own risk.

Beginning with responsible financial habits is crucial for building a solid credit score. 

Individuals obtain credit through the creation of accounts and the regular payment of instalments. 

- ADVERTISEMENT -

Responsible financial behaviour over time can lead to a better credit score, giving you access to more favourable loan terms and opportunities in the financial sector. To ensure a stable and positive credit profile, it is crucial to practise responsible credit habits consistently.

On the contrary, we will take you through how to maintain a good credit score, the need to maintain the credit score and some of the things that can affect your credit score.

How do you maintain a good credit score

Once you have achieved a good credit score, the key is to maintain it. It is necessary to prioritise the key aspects of your credit score, establish automatic bill payments, steer clear of debt, and regularly monitor your credit score.

Understanding credit, its calculation, the importance of maintaining a good credit score, and monitoring it regularly is key to ensuring a high credit score.

Here are some key tips on how you can maintain a good credit score.

By following these tips, you can maintain a high credit score and increase your likelihood of securing a loan. Supposing you are looking to purchase a new car and require a loan. If your credit is excellent, you might have the opportunity to secure a loan with more favourable conditions and a reduced interest rate. Throughout the loan, this will result in a reduction of interest payments, potentially leading to significant savings.

- ADVERTISEMENT -

Why is it important to maintain a credit score?

There are several reasons why you should strive to keep a decent credit score. 

First and foremost, it has the potential to save you money on interest and fees by allowing you to qualify for loans and credit cards that are offered at the most competitive rates ever. 

In addition, if potential landlords examine your credit history, having a decent score may make it easier for you to qualify for rental apartments or save you from having to pay a security deposit on utilities.

The benefits that can be derived from maintaining a credit score are unlimited and have a positive trickle effect on an individual’s financial life.

What are the things that hurt your credit score?

Various factors can have a detrimental effect on your credit score. Delinquent payments on credit accounts, such as credit cards and loans, play a major role. 

Having high credit card balances compared to your credit limit can negatively impact your credit score. 

Opening multiple new credit accounts in a short period can indicate potential financial instability and have negative consequences. 

Bankruptcies, foreclosures, and other public records have a significant impact on your credit score. When you close old credit accounts, it can have an impact on your credit score by reducing the length of your credit history. 

Defaulting on loans and having accounts sent to collections can leave a lasting mark of negativity. 

By consistently keeping an eye on your credit report and adopting responsible financial habits, you can minimise these risks and ensure a strong credit score.

How long does it take for credit score to go up?

It is always optimistic to perceive your credit score going up. A higher credit score can offer you many opportunities. It is quite common for people to get an understanding of the timeline for a credit score to go up. 

If you are concerned about how long it will take for your credit score to go up, then you must understand this can alternate. 

Credit scores can go up within 30 to 45 days. When you make the right payment on time, that activity may not push your credit score to go up immediately although the payment has been recorded. 

- ADVERTISEMENT -

Keep Reading

Why is my Credit Score Not the Same as Other Credit Bureaus?

Why is my Credit Score Not the Same as Other Credit Bureaus?

Today we will dive a little deeper into why credit scores can vary between credit bureaus, and why you don’t need to worry too much about that variation

How Do Mortgage Lenders Determine Credit Score

How Do Mortgage Lenders Determine Credit Score

Follow us, as we continue to shed some light on mortgage lenders and credit scores. We will take you through how mortgage lenders determine an individual's credit score.

How to Get a Bond With a Bad Credit Score

How to Get a Bond With a Bad Credit Score

It’s a stringent market. Don’t give up just yet! We do have some good advice for you.

How to Get a Home Loan If You Are Blacklisted

How to Get a Home Loan If You Are Blacklisted

However, there’s plenty you can do to correct this, and we have some great advice for you.

How to Get Vehicle Finance with a Low Credit Score

How to Get Vehicle Finance with a Low Credit Score

Now is not the time to find out you have a low credit score! We’re here today to help you figure out what to do.

What Is a Credit Score And Why Is it Important?

What Is a Credit Score And Why Is it Important?

Today we unpack the mystery of the credit score, why it matters, and what you can do to fix a bad one. 

Do Consolidation Loans Hurt Your Credit Score?

Do Consolidation Loans Hurt Your Credit Score?

As we continue to educate our readers, we will be sharing with you a couple of narratives concerning consolidation hurting your credit score and the aftermath of debt consolidation.

What Is The Social Credit Score

What Is The Social Credit Score

But what is the social credit score? How does it work? What does it do? We are about to find out more about the social credit score. 

Guide to Understanding Credit Scores and Score Ranges

Guide to Understanding Credit Scores and Score Ranges

Guide to Understanding Credit Scores and Score Ranges. Today we are breaking down the basics of credit scores and how they are evaluated. 

What Is A Hard Inquiry Credit Score

What Is A Hard Inquiry Credit Score

In the end, we should be able to understand the outcomes of hard inquiry and the points to lose. 

How Do You Check Someone’s Creditworthiness?

How Do You Check Someone’s Creditworthiness?

Does Credit Score Affect Your Car Insurance Rate?

Does Credit Score Affect Your Car Insurance Rate?

This article explains all the important aspects of credit scores and how they affect your car insurance rate. 

How to Increase GCredit Score

How to Increase GCredit Score

This blog post will educate us on how to increase Gcredit scores and a few related questions about Gcash and Gcredit. 

How to Remove A Block On Your Credit Report?

How to Remove A Block On Your Credit Report?

Today, we will look at credit report blocks in more detail, and what they mean for you, as well as how to unblock your profile so the prospective lender can access it.

How To Check Credit Score On Nedbank Money App

How To Check Credit Score On Nedbank Money App

This article will take you through how to check your ratings on the Nedbank Money App, helping you take control of your financial future.