CNN Video – Improve Your Credit Score

CNN Video provides a video located here for consumers looking to maximize their credit score before applying for a mortgage. According to CNN, in today’s credit environment, a credit score of 750 is likely required to ensure you get the best rates and terms on your home loan.

According to the video, there are a few steps you should take to improve your credit score. Before applying for a mortgage loan, make sure to settle collections accounts, pay off high credit card balances, and avoid opening new lines of credit. In addition, do not close old credit cards even if you are no longer using them because the show a history of credit use which is an important component of a high credit score.

Something not mentioned in the video is that you should also make sure everything listed on your credit reports is accurate and a true representation of your credit risk. Make sure to dispute any negative items you feel are inaccurate, untimely, misleading, biased, incomplete or unverifiable as these questionable items may be unfairly depressing your credit score.

By proactively managing your credit moving forward and working to ensure that your credit reports are accurate, you will put yourself in the best position for getting approved for a mortgage loan with the rate and terms you deserve.