Pay Down Debt

• Change the way you view and use credit cards. The amount of debt on your credit cards can affect your credit scoring. The higher your debt balances, the lower your credit rating. However, paying down debt and never maxing out accounts helps you maintain a good rating. Account balances make up 30 percent of credit scores. Make higher debt payments each month and limit credit card use to bring down debt.
  
  

Danger of Lateness

• Paying your credit cards and loans aren't enough to keep a high credit rating. Maintaining good credit involves paying these bills on time each month. Creditors and lenders take note of late payments, and they report this information to the credit bureaus. Excessive late payments will lower your credit rating. And when you are applying for loans and other credit accounts, a history of lateness can trigger rejections or higher interest rates. Writing down due dates, paying early or using online payment systems can help alleviate paying bills late.
  
  

New Accounts & Inquiries

• Myfico explains the relationship between good credit and diversifying accounts. This website also notes the dangers of excessive credit inquiries. Having only one type of account doesn't help your score. A mixture of accounts makes up 10 percent of your credit score, and carrying two or three different types of accounts can help bolster your low credit score. Don't go too far, though. Frequently completing offers for credit cards can signal desperation and reduce your credit rating
  
  

Credit Report Inaccuracies

• The information on your credit report affects your credit score. Wrong or inaccurate information can lower your personal rating. Reversing bad credit due to creditor mistakes can be as simple as identifying errors and asking creditors to investigate and update your report. Start by checking all three credit reports. Use Annual Credit Report to access your information for free (see Resources). Closely check each account entry for accuracy, and look for unfamiliar accounts, outdated information or errors. Notify your creditors immediately or file an online dispute.