How Long Does It Take to Improve Your Credit Score?

We all want a great credit score. Unfortunately, many people feel trapped when their credit is less than ideal. They want a loan, they want to refinance, they want to lower their interest rate, but these three numbers seem to be a wall standing in the way.

People who intentionally set out to work on improving their credit score by making payments on time, having errors corrected, paying off collections accounts, and ensuring that negative marks are removed from their report, are looking for a pretty quick improvement. Then there are those who haven’t even begun because it seems to be such an overwhelming and time-consuming endeavor.

The good news is, it is more than possible to improve your credit in a relatively short amount of time. In fact, with a few intentional moves, you can begin to notice a positive change in your score in just a matter of weeks.

Once you pay off some debt or pay down credit card balances, reporting it is in the hands of the business. This can have a very fast turn-around or take a while, depending on how often the business sends credit report updates. Some businesses send daily updates, while others only send them once a month, which means that while you may be doing all you can to raise your score, it could take a little while until you see the results.

While your credit report can be updated to show improvement within a matter of weeks, it can take also take a while for the credit report to show positive changes. As your credit score is dependent upon your credit report, your score will not be updated until your report is. The good news is that it is fairly easy to change your credit score, all you need to do is to be intentional about making positive changes to your report.

It’s also important to realize that if you have negative changes to your report at the same time, your score can be negatively impacted, or at the very least, you may see no impact at all. That means that while you are focusing on making positive changes and paying off and down your accounts, you also need to focus on your current bills and loans to ensure that you don’t miss something, negating the positive work that you have done.

Top Ways to Improve Your Credit Score Quickly

If you want to make a positive impact on your credit score as fast as possible, there are a number of things that you can do.

Pay down a large balance and get a credit limit increase:

The credit utilization rate is 30% of your credit score, and it is positively impacted by both of these.

Dispute negative errors:

While you are required to dispute credit report errors in writing under the Fair Credit Reporting Act, many creditors are willing to remove errors instantly with just a phone call. If the creditor works with you, there is the potential of seeing improvement in your credit score within just a few days.

Even if the creditor is unwilling to remove the error instantly, you can still dispute in writing. While it is a longer process, taking anywhere from 30-45 days for creditors to investigate and remove the errors, it can still have a huge impact on your score.

Pay off any debt collections:

Debt collections have a significant negative impact on your credit score. One way to see great improvement is to pay off your collections accounts. Talk with the creditors who own your debt. They want to receive payment and are sometimes willing to work with you, oftentimes accepting up to half-off the debt in order to close it.

One Last Tip: Continuously Monitor Your Score

If you have specific financial goals then it’s likely you will want to improve your credit score as quickly as possible. While there are no guarantees, focusing on these specific areas will help you to make improvements that could start showing up fairly soon.

Even once you have improved your credit score, it’s important to sign up for credit monitoring and keep track of your credit score on a regular basis. That will prevent any negative surprises from popping up and it will help to prevent your score from falling.

CreditDash can help you, your team, employees or organization work towards a better credit score. Learn more!

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