Here are ways to keep your score in top shape:
- Make payments on time, on or before the due date. It reflects your credibility when you’re overdue by two months or more.
- Avoid mass applying for credit. You risk leaving a record of potential rejections. Find out what the borrowing requirements are and choose the one that best matches your financial standing.
- Pay-off smaller outstanding debts in full. This helps to ease your existing financial obligations and hence appears more favourable in the eyes of lenders.
A bad score can be fixed, but having no score is also bad because creditors cannot profile you and decide if you would be a good borrower. Even if you may not need it now, building a line of credit could be useful for future situations when you might need to apply for a loan.
Start building a healthy credit history now with the above tips. Your future credit score will thank you.
This article is brought to you by CIMB as part of our ongoing efforts to raise the level of financial literacy among Malaysians. Financial knowledge and understanding are key to making well-informed and meaningful financial decisions that will improve all our well-being. This, in turn, achieves CIMB’s purpose of advancing customers and society.