A good credit score is more than just a number — it’s your path to better financial opportunities. Whether you’re aiming to buy your first home, take out a loan for that dream car, or secure a credit card with amazing perks, a solid credit score can make all the difference.
But, don’t worry! You don’t need to be a financial guru to keep your score in check. By adopting a few healthy habits, you can save your credit score and set yourself up for future financial success.
Ready to take control of your financial future? Let’s dive into the five consistent habits that can keep your credit score in tip-top shape!
Join the iCash Credit Health Giveaway & Get a Chance to Prizes Totaling $300
Speaking of boosting your financial health, we’re making it even more exciting with the iCash Credit Health Giveaway! Get ready to win some fun prizes while learning the secrets to saving your credit score.
Here’s how you can join the fun: Take the iCash Credit Health Trivia Challenge on the official iCash giveaway page, then share your 2025 financial goal in the comments of our giveaway post on social media.
With up to $300 in prizes up for grabs, it’s your chance to level up your credit knowledge and your wallet. Ready to win big and start crushing those 2025 goals? Let’s go!
5 Credit Saving Habits You Wish You Started Sooner
Your credit score doesn’t improve overnight, but with small, consistent actions, you can see a big difference over time. These five habits are simple, effective, and easy to weave into your daily routine. Start today and watch your credit score reach new heights!
1. Pay Your Bills on Time
Let’s kick things off with one of the most straightforward habits: pay your bills on time. It may sound simple, but timely payments make up a significant portion of your overall credit score. Your payment history accounts for approximately 35% of your credit score, making it one of the most important factors in maintaining healthy credit.
This means that late or missed payments can have a lasting negative impact. So, if you want to maintain your credit or improve your credit score, make it a priority to pay at least the minimum amount due on time, every time.
Tips for Timely Payments
Set up reminders: Use your smartphone or email to set up alerts a few days before each bill is due.
Automate payments: If you’re always swamped with tasks, automate your bills. Most banks offer automatic payment options — just make sure you have enough in your account to avoid overdraft fees.
Create a budget: By outlining your monthly expenses, you’ll always have a clear understanding of how much money you need to set aside for bill payments.
2. Keep Your Credit Utilization Low
Next on the list is credit utilization, which refers to the ratio of your current credit card balances to your credit limits. Keeping this number low is key to maintaining a healthy credit score. Aim for under 30%, but the lower, the better!
Ways to Maintain Low Credit Utilization
Use your cards wisely: If possible, only use a portion of your available credit each month and never go over your credit limit. This can help you stay well below that magic 30% threshold.
Pay off balances regularly: Don’t wait until your bill is due to pay off your balance if you can do it earlier. Paying it off sooner can decrease your utilization rate before your statement closes.
Consider increasing your credit limits: If you have a strong payment history, consider asking your card issuer for a limit increase. More available credit can lower your utilization ratio, provided you don’t increase your spending.
3. Monitor Your Credit Report Regularly
Keeping an eye on your credit report is essential in maintaining your credit score. Regular monitoring allows you to catch any errors or signs of fraud early on. Remember, you’re entitled to one free credit report from each of the major reporting agencies each year, so take advantage of that!
How to Effectively Monitor Your Credit Report
Check for errors: Look for discrepancies in your report. If you spot any inaccuracies, dispute them right away. This will help make sure your score isn’t impacted by someone else’s mistakes.
Watch for signs of fraud: Keep an eye out for accounts you didn’t open or unusual activities. Catching these can save you headaches later.
Use credit monitoring services: Credit health services can alert you to changes in your report and often include identity theft protection for added peace of mind.
4. Consider a Short-Term Loan
Managing unexpected expenses without a credit history is tough, but short-duration loans from iCash offer flexibility for those with poor or no credit. While these loans don’t build credit directly, they can help you avoid late bills, which impact your score. Plus, iCash members get free credit monitoring powered by Equifax to stay on track toward building good credit in Canada.
How a Short-Term Loan Can Help
Handle emergencies with ease: Cover unexpected costs, like car repairs or medical bills, without disrupting your budget.
Avoid high-interest penalties: Prevent costly overdraft fees or late penalties by addressing urgent expenses with a quick loan.
Build financial confidence: Manage short-term financial challenges responsibly, setting the foundation for better credit habits in the future.
5. Diversify Your Credit Mix
Your credit mix, which includes different types of credit accounts (like credit cards, mortgages, and student loans), can also impact your credit score. Handling these types of credit responsibly shows lenders that you’re a low-risk borrower.
Strategies for Diversifying Your Credit
Consider a secured credit card: If you’re just starting or rebuilding your credit, a secured credit card or an unsecured credit that accepts all credit scores can be a helpful tool to add to your mix. Just make sure you use it responsibly!
Avoid opening multiple accounts at once: It might be tempting to explore every form of credit available, but opening multiple accounts at once can negatively affect your score and lead to a hard inquiry.
Take out a small personal loan: If you’ve only used credit cards, a small personal loan can diversify your credit and show you can manage installment payments responsibly.
Save Your Credit Score & Have Fun Doing It!
Saving your credit score is easier than you think. With simple habits like paying your bills on time, keeping your credit card use low, checking your credit report regularly, and choosing the right types of credit, you can build a stronger score.
Whether you’re rebuilding your credit, maintaining a strong score, or just starting your credit journey, these small changes can make a big difference. It’s all about progress and every small step counts. You can even apply for an iCash loan to avoid late payments on essential bills to stay on track.
And, don’t forget! If you’re looking to boost your financial health and have some fun, join the iCash Credit Health Giveaway for a chance to win fun cash-related prizes while cruising your credit goals!
