Your credit score is used to determine your eligibility for many services, including renting an apartment. Improving your score will increase the chances that you’re approved for the home of your dreams. Here are a few steps to take before submitting an application.

How to Raise Your Credit Score to Secure an Apartment

1. Understand Your Score

Many people don’t understand how credit scores work. First, get a copy of your credit report so you can see your starting point. You can get a free copy every 12 months from AnnualCreditReport.com. 

Now, look at each category and evaluate its effects on your score. The factors used to calculate the number include payment history (35%), the amount you owe (30%), length of credit history (15%), how often you open new cards (10%), and whether you have different types of accounts, like credit cards and loans (10%). Seeing your report will help you know what to focus on.

2. Don’t Rely on a Credit Card

If you want to raise your score, don’t make large purchases on a credit card. This will drive up your debts, especially since credit cards come with hefty interest rates.

Instead, make most purchases on a debit card or use cash. This also encourages you to stay on budget and avoid splurging on what you can’t currently afford.

3. Pay Off Your Debt

Paying off loans will also improve your credit. One popular way to do this is called the snowball method. To follow it, make all of the minimum payments on your cards, then use the money remaining to pay off the card with the lowest balance. This way, you avoid interest fees on at least one card and get to celebrate that, which might encourage you to continue. 

If you’re looking for affordable apartments, turn to Executive Estates Apartments in Fairbanks, AK. This low-income housing complex offers rent based on your income to help you secure a home for your family. They have a variety of floor plans, and each apartment is equipped with a full set of amenities, including ovens, refrigerators, and heating. Visit their website to start an application today, or call (907) 479-3655 to inquire about availability.