Lesson Summary

Improving your credit score in a year is achievable by following these five key steps:

1. Check your credit report: Request copies from the three major credit bureaus, review the data for accuracy, and address any discrepancies by contacting the bureau.
2. Pay off or reduce the amount you owe: Maintain a credit utilization ratio below 30% by keeping your balance far below your credit limit.
3. Request that your creditors increase your credit limit: Opt for this if you have a good credit score and don't increase your spending to complement the limit raise.
4. Pay your bills on time: Timely bill payments are crucial for a good credit score; consider setting up automatic payments or reminders.
5. Get added as an authorized user: If unable to secure a credit increase or a new card, be added to someone else's card with a good standing account to benefit from their payment history and credit utilization on your report.