Your credit score is more than just a number — it’s a key that can unlock major financial opportunities, from buying your first home to securing the best rates on loans and credit cards. At Legacy National Bank, we believe everyone deserves the tools and knowledge to build a strong financial future. That’s why we’re sharing practical, proven ways you can improve your credit, one smart step at a time.
1. Understand What Impacts Your Credit Score
Before you can improve your credit, it helps to understand how it's calculated. While there are multiple scoring models, most consider these five key factors:
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Payment History (35%) – On-time payments are crucial.
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Credit Utilization (30%) – How much of your available credit you’re using.
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Length of Credit History (15%) – The age of your credit accounts.
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Credit Mix (10%) – A healthy variety of credit types (credit cards, loans, etc.).
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New Credit (10%) – Recent credit inquiries and new accounts.
2. Pay On Time — Every Time
Your payment history has the biggest impact on your credit score. Set reminders or automate payments to avoid late fees and penalties. Even one missed payment can negatively affect your score, so consistency is key.
3. Lower Your Credit Utilization
Credit utilization is the amount of credit you’re using compared to your total limit. Experts recommend keeping it under 30%.
Tip: If your credit card limit is $1,000, try to keep your balance below $300.
Paying off existing balances and requesting higher credit limits (without increasing your
spending) can help improve your ratio.
4. Avoid Opening Too Many Accounts at Once
Every time you apply for a new credit card or loan, a “hard inquiry” is made, which can temporarily lower your score. While building a credit history is important, too many inquiries in a short time may raise red flags for lenders.
5. Don’t Close Old Accounts
Even if you don’t use a card often, keeping older accounts open can work in your favor. These accounts contribute to the length of your credit history and available credit — both positive factors for your score.
6. Check Your Credit Report for Errors
You’re entitled to one free credit report per year from each of the three major bureaus (Equifax, Experian, and TransUnion) at AnnualCreditReport.com.
Check for inaccuracies like incorrect account balances, late payments you made on time, or accounts that aren’t yours. Dispute any errors to keep your report clean.
7. Build Credit Responsibly
If you’re just getting started, consider:
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Secured Credit Cards – These require a deposit and can help you establish credit safely.
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Credit Builder Loans – Offered by some banks and credit unions, these loans are designed specifically to help you build credit over time.
Legacy National Bank offers resources and guidance to help new borrowers begin their credit journey with confidence.
Final Thoughts
Improving your credit doesn’t happen overnight — but with patience, discipline, and the right tools, it's absolutely achievable. A stronger credit score not only gives you access to better rates and opportunities, but it also brings peace of mind and greater financial freedom.
If you're ready to take the next step in your financial journey, our team at Legacy National Bank is here to help. Whether you're working to repair your credit or build it from the ground up, we have personalized solutions and local support you can count on.
Stop by your nearest branch or visit us online at LegacyNationalBank.com to learn more.