Maintain low balances.
A general rule of thumb is to consistently carry lower balances on revolving credit lines. High balances compared to available credit can lower your credit rating. For example, if you hold a credit card with a $3,000 credit limit, but carry a balance of $2,800, you are left with a $200 cushion. If you make a small purchase for the month, once finance charges and interest are added, you could easily find yourself faced with over-the-limit fees, as well as a possible increase in interest rate and a lower credit score.

Avoid the credit card game.
If you are going to play, make sure you master the rules and know your next move. To avoid any unwanted surprises, when you transfer balances to a new card, make sure you fully under-stand the conditions of the new cardholder agreement.

It’s your move! Consider BillPay to set timely payments to recur monthly. You may also consider setting up automatic drafts. Both options are great ways to improve your payment history. Check with individual creditors to determine options with the least expense to you.

Keep inquiries low. Remember, “hard” inquiries are generated by providing a signature to obtain credit. Many experts suggest that applying for credit more than twelve times a year may affect your credit negatively.

Know your rights! The Equal Credit Opportunity Act requires that creditors provide specific reasons to consumers for rejecting applications. You can be denied credit due to information contained in a credit report. The Fair Credit Reporting Act requires that creditors provide the name, address and phone number of the CRA (consumer reporting agency) that supplied the information.