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The first thing that you can do to build your credit score is to nail down the credit utilization rate. If you haven\u2019t heard about the credit utilization rate before, let us break it down and understand the term.\u00a0<\/p>
The credit utilization rate means how much credit you are using against how much credit do you have available.\u00a0<\/p>
For example, let us say you have a limit of $1,500 on your credit card, and you have utilized about $900 from that credit card.\u00a0<\/p>
This means the credit utilization rate for this card is up to 60%. In other words, that amount of money you have charged on your card, divided by the total limit itself.<\/p>
If you want to nail it down, want to do something good for a better credit score, you may want to bring this credit utilization rate below 30%, which could be difficult but not impossible.\u00a0<\/p>
Considering the same example with the credit limit of $1,500, you may want to keep your balance below $450 to nail down that 30% credit utilization rate. This would help you to build a credit score.\u00a0<\/p>
Also, the credit bureaus like to see consistent on-time payments to boost your credit score. As do the loan officers who want to assess your credit profile.\u00a0<\/p>
The more of the healthy habits you have for your credit card practices, the more viable of a candidate you are to get a higher credit score and eventually get to your goal of purchasing your home, car, or whatever your financial goal might be.<\/p>\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t