A credit score, as the name suggests, is a score or a numerical figure that represents a “credit value” of a person. In other words, it is a figure that could tell if a person is worthy for a credit or not. This score is calculated from statistical data based on an individual’s credit files or credit report information. Banks and credit card companies use this score to assess the risks involved in lending someone money. This is for them to evade the case where they lend somebody their money but this person would not be able to pay them back, either deliberately or not deliberately. For those who are with good scores, their scores are also used to find out the interest rate and credit limit suitable for the customer.

This is means that you must be able to keep a good credit score. And featured in this article are things that you must not do in order to keep and improve your credit score.

Do not ever be scared to check your credit. There is a myth that says that if you check your credit, you score would drop. This is absolutely untrue. Checking your score would not harm your credit at all and it would be just considered as a soft inquiry. Only “hard inquiries” could damage your score which is usually made when you apply for credit. You could simply do multiple inquiries in a short amount of time which would be grouped together to form a less damaging period of inquiry.

Do not close your previous accounts. This is one of the common questions regarding your previous credit accounts: to close or not to close? The answer is not to close. Closing your old and inactive accounts can lower your score because doing this would make your credit history look shorter. Be sure you think about it well if you are to close your older accounts.

Do not think twice to pay off negative records. Negative records including collection accounts and charge-offs will stay on your report for a duration of 7 years while bankruptcies could stay for as long as 10 years. Paying off the account before the end of the set term is still a good idea since it would be marked on your report as “paid”. Paying your old debts would help improve your current score.

If you are a co-signer on an account, do not relax. Be as responsible as if it was your own account. Any activity on the joint account, whether good or bad, would be reflected on the record of both parties. For example, if you co-sign for a friend’s loan, and he or she was not able to pay it, it would damage your record.

Do not rush yourself. It would take time to improve your credit score. Just keep on paying bills on time, reduce your debts, and remove inaccurate information from your record and your credit score would surely but slowly rise.