How I Increased My Credit by 105 Points Within 4 Months!

Here's how, despite having school loans and roughly seven closed accounts on my credit report at the time, I managed to raise my personal credit score in just four months.

I started by contacting Capital One to apply for a Quick Silver card. The procedure was rather easy. I called Capital One and enrolled by phone. I received approval in just ten minutes.

My $300 credit limit was established. As soon as I got the card, I used 10% ($60) of the credit. You can purchase anything as long as it amounts to 1 to 10% of your credit limit. 

I made my purchases and made sure to pay my monthly bills on time before the due dates. A week later, I applied with a firm called Self for a 12-month short-term payment loan.

I applied for a Region's debit card, added $300 to the account, connected the card's data to my Self account, and set the installment plan's autopay to the selected amount. I agreed to pay $25 per month for 12 months.

Pay close attention since the next section is crucial. Be careful to make on-time payments after accepting the installment loan (if you set it up for auto-pay, you won't have to worry about that). DO NOT pay them off early either!

Your payment history will be built as a result of this. As you read this, I know you're thinking "Although the title claims that you improved your score in 4 months, the period actually lasts 12 months. This doesn't make sense."

Go on reading!

In late June, I received approval for a credit card. Early in July, after getting the card, I spent 10% of my credit limit on something. I applied for an installment loan within the same month and paid $25 for July.

I have my installment account set up to automatically deduct the money, which comes to $300 every year, 12 months in advance. Using my Capital One credit card, I made 4 payments by the end of October.

My credit score soared by 105 points at the end of October, putting me at 750. I haven't even reached the midpoint of the term duration. When I delete the canceled accounts from my credit report at the end of the year, imagine where my credit score will be. By signing up for 1 short-term installment plan and using 1 credit card, I was able to get this score. 

Here's a recap.

1. Apply for a credit card. (I only chose Capital One because they had been hounding me for years telling me that I was pre-approved)

2. Only spend 10% of your credit amount.

3. Be sure to pay your bill a week or so in advance.

4. Apply for a short term installment loan through a trusted firm. (Ex. Self Inc.)

5. DO NOT pay the loan amount early. (set your payments on autopay. Also, if it helps you can apply for a debit card and only use it for the use of the installment payments.)

Also, if you'd like, you can apply for other credit cards as well or even a longer installment plan. Choose what best suits you. Please keep in mind that I had a lot of closed accounts on my credit report and I was still able to achieve a decent score within a short amount of time. If you don't have anything on your credit, that's even better.

All in all following these steps will definitely help build your credit score and payment history.

If you found this article to be helpful please feel free to share it with family and friends.

This article was originally written in the year 2021 by Chaunise Farmer.