Understand how credit scores workIn general, your credit scores fall in a range between 300 and 850, which are determined by the information recorded in your credit reports. "Every time you apply for a new line of credit, your credit score will initially drop," Amaral says. Keep old credit accounts openBecause your FICO scores are partially based on how old your credit accounts are, if you close older accounts, your credit scores may drop. Monitor your credit scores and track your progressIt's important to track your credit scores as you take these steps to increase your credit. Keeping your credit cards paid off or maintaining low balances will help improve your credit utilization ratio, which should be less than 30% of your available credit.

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