When applying for credit services, a good credit history is not just an indicator of your standing as a potential customer. It’s also an opportunity to finance your dreams faster and easier. You can maintain a good credit rating by taking out suitable loans and repaying them conscientiously.
But what if it has already been damaged in the past? Don’t worry – there’s always a way out, and in this article, we’ll tell you which services can help you improve it. Consider what to do if you’ve had several loans or are waiting to get them.
What does your credit history affect?
A healthy credit history is your ticket to financial opportunities, from getting a loan with good terms to making buying a house or a car easier. It shows how many loans you have taken out, what loans you have taken out, and how and when you have repaid them.
If you have been refused a loan, check your rating online, and are unhappy with it, perhaps you are wondering how to improve it. Let’s look at practical techniques and how merging your existing loans with financial brokers can help you.
Improving your credit rating by merging loans
If your credit rating is low and your credit history is terrible due to several existing loans, you can improve your situation by consolidating your loans. This method can also help if a previous loan complicates your life – it can be restructured more favorably. Here are some companies that can help you refinance your loans.
Latkredits
Loan broker Latkredits offers loan refinancing that can significantly reduce the interest rate on your existing loan, sometimes by up to 5-10 times. Their offer includes consolidating up to 10 loans with 3 to 120 months terms.
If you have several loans, applying for a consolidation service will not only make it easier to repay them but will also have a positive impact on you. Those who pay attention to your credit history will see you as a person who manages his finances responsibly, improving your credit rating.
Sefinance
The financial intermediary Sefinance offers a favorable refinancing option with an annual interest rate of 6.9%. They allow you to combine up to 10 loans of between €500 and €25,000 with a term of 3 months and 10 years. You can send your application for loan mergers electronically.
This approach not only optimizes your finances by combining several loans into one more convenient payment. Loan consolidation can also positively impact your credit history by reducing the total cost of debt and ensuring timely repayment.
Latvijas Kredītu Centrs
A trusted institution, Latvijas Kredītu Centrs offers unique loan restructuring from EUR 1 000 to EUR 25 000 with interest rates starting from 5.7%. The application can be submitted in person at the branch for 3 months to 10 years. The company finds you the most advantageous offer without requiring a down payment.
You can apply for credit consolidation even if you are unemployed and already owe money to one or more creditors. By doing so, you are on your way to a better financial life, which will positively impact your credit history.
General tips for improving your credit rating
If your credit rating is relatively low but you need more credit or do not want to apply for credit consolidation, we have put together some tips for improving it. By following them, you can improve your credit rating a little, and you might get the loan you want. In addition to making payments on time, there are some other nuances.
For example, your credit rating may be low if your income exceeds the minimum wage or you have been employed for less than 3 or 6 months in your regular job. Your income and that of your co-borrower are also important for larger loans. Young people or pensioners may also have a lower credit rating than others.
Why is it essential to have a good credit history?
Improving your credit rating requires constant effort and strategic financial planning. Key steps include making timely payments, maintaining a low credit utilization ratio, keeping old credit accounts, and managing them responsibly.
And if you start with a lower score, consolidating existing loans with a financial intermediary can help. See also the tips in the article on bad credit loans. All these ways will improve your credit history and pave the way to achieving your financial goals.
Es, Beatrisa Granta, Topkredit.lv veidotāja, izmantoju savu finanšu pieredzi, lai palīdzētu lasītājiem orientēties kredītu izsniegšanas iespēju klāstā un izvairīties no biežāk pieļautajām kļūdām, ņemot patēriņa un ātros kredītus.