There’s no reason to panic if your credit scores are lower than you want them to be. Every year, millions of consumers take direct action to raise their scores. Fortunately, there are ways to do that, but in the meantime, those with low numbers should learn how to navigate the economic challenges of being a cash-pay consumer.

Start by requesting your reports from all three bureaus. If you want to attend college, find a cosigner who can boost your chances of loan approval. Additionally, consider delaying all major purchases for a few months, using a secured card for routine purchases, and making cash deposits to rent hotel rooms and cars. There are dozens of effective tactics for dealing with low scores. Here are the pertinent details.

Work On Your Numbers

The quickest way to get low scores higher is to pay all bills on time or a little early if possible. Second, order your free reports from each of the reporting bureaus: Experian, TransUnion, and Equifax. You get one freebie per year. Check it for mistakes and report any that you find. Finally, pay card balances down as low as possible, preferably under the 30% mark. On a $2,000 limit card, that would mean maintaining a balance lower than $600.

Get A Cosigner For College Loans

If you’re attempting to restart a college degree program after a few years in the working world, weak credit can sink your chances of getting approved for an education loan. Even if you’re a young adult headed to college for the first time, it’s likely you don’t have enough financial history to meet any lender’s requirements. A cosigner who appends their signature to the application increases your prospects of getting a loan.

In a way, a cosigner is like a personal agent who can show lenders that you have a secondary relief player. It’s quite common for student applicants to have cosigners. Most young people need help, and that second signature opens up the prospect of more offers from multiple lenders and lower interest rates on the loans. Keep in mind that it can be a bit of a challenge to ask someone to cosign for you. The first step is to review a complete guide that walks through the process and answers all your questions.

Make Cash Deposits For Car And Hotel Rentals

If you aren’t qualified to use plastic for car or lodging rentals, merchants are likely to request a cash deposit via debit card or check. There are no universal guidelines about how much they might require, but it’s relatively common for car rental companies to ask for up to $500 and hotels to demand about $250 from customers who do not have credit cards. You’ll quickly learn the importance of ratings and identification in the financial system.

Those who rail against the use of plastic tend to forget that a large number of merchants prefer cards as a payment method. Some organizations, like apartment rental companies and brokerage firms, don’t accept cash from new clients. Instead, they strive to establish solid identity and financial health credentials from customers.

Read Also:

• Can I Get A Loan With Bad Credit?
• Simple Ways to Settle Your Credit Card Debt
• Is Hiring A Credit Repair Agency Worth It? Here’s What To Know