Some creditors have been known to look at their customer's bill payment records, so that they can establish your willingness to pay. Get Installment Loans Next, get an installment loan, such as a car or appliance loan. This can be a nice start towards rebuilding your credit score. Once you've gotten approval, pay off the loan in the quickest time possible. Continually Keep Your Accounts Active Most creditors and lending agencies would rather prefer to see a verifiable credit history on their clients. If you wish to pay all your outstanding balances, and close all your accounts, your creditors won t be able to determine if you re in good financial standing, or if you re paying your balances on time. Keep Your Credit Card Debt Ratio To Manageable Levels Always remember to keep your credit card balance paid off on a monthly basis. Also keep your card at a maximum charge level of 30 percent, and pay them off at the end of the month. By keeping your card s charge levels low and manageable, you re actually showing restraint and responsibility, and you re keeping your credit score high as well. This type of inquiry does not have much of a negative effect on an individual's credit score, sicne it was made at the request of a consumer or established creditor. A hard inquiry though,can considerably lower down a person's credit score. A hard inquiry happens once a credit report request is made by a lender who's considering the new loan, or by another party who has debts or liens to collect from the individual. While the names used by the major credit companies are essentially the same, lenders often use just one credit report, to analyze your loan application. Myth No. 2 To Repair Your Credit Score, Simply Pay-off All Your Debts The truth is that your credit score will be influenced, and determined by your past credit history, and not by your current amount of debt. Credit scores generally have a range between 300 and 850. Here s a rundown of the standard score range. 300 499 Bad Credit 500 580 Poor Credit 580 619 Low Credit 620 679 Average Credit 680 699 Good Credit 700 850 Excellent Credit Regularly Monitor Your Credit Score According to credit experts, a good to excellent credit score is often weighed as a future sign of your credit value, and if your credit score is Good, then your future loan s interest rates will certainly be lower than usual.