What raises your credit score?

Question

I was looking to get insurance on a new car, but the rates are ridiculous! I figure it's because I'm young, it's a new car, and that I also don't have any credit history. What is the most significant factor that raises your credit score? Does it only depend on how much you spend, and if you make the payments on time? For instance, would someone that spends $1000 a month and pays it on time have a higher credit rating than someone who spends $500 a month and pays it on time?

Answer 1

Credit rating has very little to do with your Auto insurance costs. Your age, the kind of car it is and how old it is matter the most. You can reduce your costs by accepting a larger deductible.

As far as your credit rating, pay your bills and your credit cards on time and you'll do just fine. Try not to carry a balance on your credit cards.

Answer 2

Your credit score is one factor in determining rates, but your youth and desire to insure a new car are much larger factors.  If you can't afford the insurance, you can't afford the car.

Answer 3

With respect to David M who answered earlier, depending upon the insurance company, a poor credit history (or lack of a credit history in your case) can have a significant impact on the cost of your car insurance. But the biggest factor is your young age, especially if you are male. And there isn't much you can do about that except get older!

Get used to paying high rates for a while (until you are over 25).

Answer 4

the thing that leads to bad credit is being in debt.

The easist way  to have better credit, is to by small items you can afford, on a credit card, and pay it all off when the bill comes.

This is the best way.

Answer 5

Using the SE like google or yahoo to get some hints first if you want to obtain the massive information,if you do not want to spend too much time,here is a good resource for your reference about your questions.http://car-insurance.bestips.info/car-in...

Answer 6

it dont matter , as long as you pay them on time

Answer 7

The following determine your credit score, length of credit history, amount owed, amount of credit cards, amount held in bank, and paying history.