You can get a free credit report from each of the credit bureaus once a year (meaning up to three different occasions). The report is a comprehensive picture of your credit history—what you’ve paid and when you paid it, what your debts are, and when you applied for new lines of credit. Your score is an estimate of your potential credit risk. They are two measures of your financial health, and it’s important to know both.Check your credit report at https://annualcreditreport.com.
Check your credit score (for free) at https://www.creditkarma.com.
 Payment history is the biggest single factor determining your credit score, accounting for about 35%. It’s simple advice, but easier said than done. Nonetheless, over the long term, it’s the best way to rehabilitate your credit., Once your credit is rehabilitated to the point that you can qualify for a loan, you should take out a small loan or line of credit in a different form than the type of credit you already have. The mix of credit is only about 10% of your total score, but it is a factor.For example, if you only have one credit card, purchase an appliance on an installment plan or take out a small personal loan. It’s never a bad idea to save up the amount of the loan before you apply, put it in a separate account, and simply have the loan payments automatically draw from that account.
 If you’ve got a credit limit of $1000, you should be able to charge $1000, right? Actually, if you want to keep your credit score in good shape, it’s best to carry a balance of no more than 30% of your available credit (and no less than 10%). This is called the “amounts owed” section of your credit score, which isn’t the most straightforward name. It means the amount owed relative to your credit limits, and not the entirety of the amount of debt owed.
If you can’t afford to get your balance down below 30% of your limit right away, one possible fix is to call your credit card company and ask for a higher credit limit.
 If you cancel a card or another line of credit, the total amount of available credit you have will lessen, which will negatively affect your score. If you have one card you don’t use very much, charge a small recurring bill, like a phone bill or a trash bill, to the card. That will keep it active and with a small but manageable balance.
Check your credit reports and your credit score often.
Make your payments on-time.
Establish diverse sources of credit.
Don’t use more than 30% of your available credit.
Don’t close lines of credit.
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