Boost your credit score by paying off your highest balances first:
If you’re carrying balances on several credit cards, it’s tempting to pay off your smaller balances first thinking that will motivate you to attack the larger debts. But if you’re trying to boost your credit score quickly, you should start by paying off the credit card with the lowest available credit limit. For example, say you have two credit cards. One credit card has a $1,600 limit with a $400 balance, which means 25 percent of your available credit is being used. The second card has a $1,000 limit with an $800 balance, meaning 80 percent of your available credit is being utilized. In this case, the second credit card is doing worse damage to your credit score because of its higher utilization ratio. Pay it off first and your credit score will improve faster.
If you’re carrying balances on several credit cards, it’s tempting to pay off your smaller balances first thinking that will motivate you to attack the larger debts. But if you’re trying to boost your credit score quickly, you should start by paying off the credit card with the lowest available credit limit. For example, say you have two credit cards. One credit card has a $1,600 limit with a $400 balance, which means 25 percent of your available credit is being used. The second card has a $1,000 limit with an $800 balance, meaning 80 percent of your available credit is being utilized. In this case, the second credit card is doing worse damage to your credit score because of its higher utilization ratio. Pay it off first and your credit score will improve faster.