One of the ways to improve your credit score: Leave old debt and good accounts on as long as possible.
This is also a good reason not to close old accounts where you’ve had a solid repayment record.
Negative items are bad for your credit score, and most of them will disappear from your report after seven years.
However, “arguing to get old accounts off your credit report just because they’re paid is a bad idea,” Ulzheimer says.
If it finds some that are older than 30 days, it will count those made within a typical shopping period as just one inquiry.
The length of that shopping period depends on the credit score used.
Trying to get rid of old good debt “is like making straight A’s in high school and trying to expunge the record 20 years later,” Ulzheimer says.
“You never want that stuff to come off your history.” If you’re shopping for a home, car or student loan, it pays to do your rate shopping within a short time period.
One of the biggest ingredients in a good credit score is simply month after month of plain-vanilla, on-time payments.
“Credit scores are determined by what’s in your credit report,” says Linda Sherry, director of national priorities for Consumer Action.
If you have multiple credit card balances, consolidating them with a personal loan could help your score.