Now if you’re like the team here at Credit Savvy, you promised yourself that this year would be the year of saving money, cutting down on unnecessary costs, and paying off your debts.  That’s music to our ears as all of these actions should help to improve your credit score!

Killing two birds with one stone – savvy!  A better credit score might even get you a better interest rate on the credit products you need to assist you with your goals.  Sign up for free at to see what your credit score is if you haven’t yet.

1. Saving money

Have a stock take of where you are at with your set goals.  Work out how much you need to save to catch up on a weekly basis. For example, if you are $1,000 behind your saving goals, you will need to catch up by an additional $50 per week for the remaining 20 weeks of the year.

Savvy Tip: Make sure you pay your bills including phone and internet contract bills on time as defaulting on payments will damage your credit score.

(read more in: How do phone and internet bills affect your credit score? here)

2. Cutting down on unnecessary costs

Awww it is hard to give up that morning coffee but maybe it’s not the coffee that you need to cut. Packing your work lunch a few days a week could put $50 back in your pocket! That could be just what you need to keep up with your saving goals.

Savvy Tip: Use a budgeting app to help keep your expenses in check!  It’s a great way to be more mindful of your consumption too. The Credit Savvy team like iXpensIT, Wally and Goodbudget. We’d love to hear what budget apps work for you!

3. Paying down debts

The key thing here is not to miss your repayments, with the new comprehensive credit reporting system (CCR) any missed repayments will appear on your credit file which could lower your credit score.  It’s also a good idea to pay down your debts in the order of the highest interest rates, e.g. credit cards, first to save you the most..  Think you may be paying too much interest?  Why not check out our credit card and home loan products for a rate that may suit you better.  Reducing interest payments can be just as good as saving!

Savvy Tip: Setting up a direct debit to make at least the minimum payment (if you aren’t sure you can pay off the whole amount every month) is an easy set and forget way to make repayments.  Don’t forget to set up an alert in your diary to top up any amount you can afford in addition to the minimum to keep paying down your debts each month.

Missed a credit card payment? If you’ve missed a payment it’s a good idea to call your lender as soon as possible and talk it through with them, they may be able to offer you an extension or waive any late fees depending on your situation. Can missed credit card repayments affect your credit score?

Check out our post – What happens if you miss a credit card repayment?


How are you going with your 2017 goals? We’d love to hear about it in the comments section below!

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