The first step in how to raise your credit score fast is to understand what exactly a credit score is and what it does. Each person is given a three digit number that represents their personal credit score, used by banks, credit unions and other lenders to determine how suitable a person is for a loan or line of credit. In many cases potential employers are checking the credit score of people applying for a job in order to check how responsible they are as part of a check in employment suitability. Alongside determining the risk of lending to a person lenders often structure loans and interest rates; often those with lower credit scores are forced to pay higher levels of interest on their lines of credit.

Simple steps taken can have a large effect relatively quickly on the credit score of an individual, such as paying bills on time that can increase a credit score very quickly. If an individual simply forgets to pay their bills on time signing up for recurring payments is a simple way to ensure all bills are paid on time and the credit score will rise quickly.

Large balances on a credit card each month can also have a negative effect on credit scores damaging the prospects for short term success. The majority of credit bureaus simply look at the balance on a credit card statement each month and ignore the size of payment made each month. When looking at how to raise your credit score fast it is important to have an open credit card account with a small or no balance proving the card user is responsible with their funds and are not likely to leave a large balance on their credit cards should a problem arise. Leaving open credit card accounts is an important step in obtaining a high credit score, for those with poor credit opening a credit card secured against a deposit can quickly raise the credit score as long as it is maintained.

Taking out a small personal loan and keeping up with installment payments can be a good way of helping to raise a credit score. By taking out a small loan, or any other installment loan including auto loans and a mortgage can also prove the ability of the person to pay back a line of credit. If a person already has an installment loan in their name repaying the balance of all loans, such as student and auto loans, and a mortgage will boost the credit score in the short term. Ensuring all payments are made promptly and no lines of credit are in default is the simplest way to raise a credit score over a short period of time.