One of the easiest ways to increase your score is by activating your Wells Fargo credit card. There are a number of factors that determine your FICO score, including the balance you have on all your existing accounts. Because you have no credit limit on your new card, it's important to make sure that you use it responsibly.
The first thing you can do to help boost your FICO score is to pay off the balance you have currently. If you're not using your card as much as you would like, this will help to improve your credit score. Also be sure that you pay off any outstanding debt such as credit cards or store credit cards. This will help you avoid making any new purchases that will hurt your FICO score.
Once you have established a healthy balance on your new card, it's time to begin to use it. When shopping online, it's important to shop carefully. Many websites will provide an “expire date” for items you order. The rule of thumb is that you should not order more than six months ahead of when the item will be delivered. If you are unable to pay for the item before the expiry date, you may find that you will lose your money and have to purchase a new item.
Your Wells Fargo credit card will report your purchases to the FICO score bureaus, so be sure to only make purchases you plan on paying for in full at the end of your billing cycle. You should avoid applying for credit or loans because you want to pay off the balance immediately. You should also try to avoid applying for cash advances or charge cards because these will also negatively impact on your FICO score. Instead, save all of your spending to your monthly budget so that you know what you have available.
If you do choose to apply for credit or loans, be sure to keep your spending low by always paying your bills on time. Also pay your balances off in full every month. This will help you maintain a good FICO score while maintaining your credit rating. By paying your bill on time, you will build a positive credit history.
The best way to help boost your FICO score is to keep your overall spending under control and to pay off any balances that are getting out of hand. By not applying for new credit or borrowing against your account, you will help your credit score. By following these steps, you will be well on your way to a better financial future.