Top reasons why you have lower credit score

In case there are some serious errors in your credit report, they will lower your credit score and as a result lenders may think twice before giving you credit or will offer you credit on big interest rates. And if you can give some time to improve your credit rating, you will have better situation when you apply for a credit card, loan or mortgage next time.

Make sure that everything is fine with your credit report. And if you have some doubts about your credit report, take help and try to improve your credit status. Keep on checking your credit report and maintain a good credit history. Sun money has given some tips about how to avoid and how fix the mess:

• In case you have missed payments in the past : all of those evidences stays in your credit report for the next 36 months and all of these records will leave negative impact on the lenders. If there is any particular reason like illness or accident due to which you missed the payments, you can add a note in your credit report, which will make a big difference in your standings before the lenders.


• Lenders will not notice you much in case you have lots of credit already. In case you already have many credit card, loans and have debts to pay for, you will have problems in getting more credit. If you have cards you don’t use or loans with a very small amount to be repaid, cancer and clear them before asking for more.


• If you have made several applications for credit recently, they all will be available in your credit report to the lenders. And when they see too much of credit applications, they will believe that you're in dire need of money or planning a credit fraud. If the lenders are planning to run credit search on you, make them understood that you are just looking for the information and ask them to set the records straight.


• You are not registered to vote at existing address. Lenders use Electoral poll as a precaution against fraud to determine you are who you pretend to be and you are staying at the address where you are saying. If you don’t have one, contact your local council.


• You have been bankrupt – most of the bankruptcies are discharged in a year these days but the records of bankruptcy stays in your credit report for the next six years at least. During this interval, you will be really hard for you to get any credit.