Credit Card Hacks: Proven Ways to Improve Your Credit Score

A digital credit card makes it easy to manage spending, rewards, and payments securely from your smartphone while also building your credit profile. Your credit score, often called your financial fingerprint, shows how well you manage debt. 

A strong score (750 or higher) unlocks better rates and faster approvals. Using a digital credit card responsibly, especially one with low or no credit card annual charges, is a smart way to boost your credit health over time.

The Real Power of a Good Credit Score

A high credit score shows financial companies that you’re a low-risk borrower. This leads to lower interest rates, higher credit limits, and faster approvals. 

Your credit score is based on five key factors:

• Payment History (35%) – Making payments on time is the most important factor
• Credit Utilisation (30%) – Maintaining balances below 30% of your available credit
• Length of Credit History (15%) – The longer your accounts have been open, the better
• New Credit Applications (10%) – Too many hard inquiries can make you appear overextended
• Credit Mix (10%) – Showing you can manage different types of credit responsibly

Each of these factors is influenced by how you use your credit card. Here are nine effective strategies to help you improve your credit score:

• Avoid Late Fees by Scheduling Payments

Your payment history carries the greatest weight on your credit score. Even a single late payment can linger on your report for years and negatively affect your rating.

To stay on track, automate your payments or set calendar reminders – ideally for the full balance, not just the minimum amount due. Consistently paying on time demonstrates financial responsibility and helps build a strong credit history.

• Keep Utilisation Below 30%

Maintaining your credit card balance below 30% of your total credit limit is key to a healthy credit score. The table below illustrates how this works:

This single metric can greatly influence your credit profile, so staying mindful of your monthly spending is essential.

• Avoid Paying Only the Minimum Due

Paying only the minimum due on your credit card bill has adverse effects, including:

• Increasing your debt, which leads to more interest payments 
• Reducing your ability to borrow in the future

Always aim to pay off your full balance to avoid extra charges, and if paying in full isn’t feasible, try to pay significantly more than the minimum. The less you carry over, the stronger your creditworthiness will be.

• Use Your Card Consistently

Inactive cards may be closed by issuers, shortening your credit history and reducing your available credit limit. To maintain a healthy credit profile, use your card for regular expenses like groceries or fuel, and pay off the balance promptly.

This consistent usage demonstrates responsible credit management and helps build trust with lenders over time.

• Limit New Credit Inquiries

Every time you apply for credit, a hard inquiry appears on your report. Multiple inquiries within a short span can signal financial distress. 

Be selective: apply only when necessary and thoroughly research products before applying. Even if you’re sure you’ll be approved, unnecessary applications can hurt your score.

• Keep Older Accounts Active

A longer credit history can positively impact your credit score. Unless an account has high fees or security concerns, it’s best to keep older cards open.

Use them occasionally for small purchases to prevent automatic closure due to inactivity. These accounts add stability to your credit profile and reflect a history of responsible credit use.

• Monitor Your Credit Profile

Review your credit reports regularly to make sure the information is correct. Spotting and fixing errors early can protect your credit score. 

• Watch for any unauthorised or suspicious activity that could signal identity theft
• Dispute errors quickly to avoid negative impacts on your score
• Take advantage of free credit reports offered by major bureaus 
• Diversify Credit Types

Using different types of credit responsibly (like a mix of credit cards, secured and unsecured loans, and mortgages) can help boost your score. However, only seek additional credit when it fits your financial plan and you can manage payments easily. Lenders appreciate applicants who can manage multiple types of credit responsibly.

• Choose a Transparent, Rewarding Card

Not all credit cards offer the same value. Some come with hidden fees and credit card annual charges that can reduce your overall benefits. Choose a card with clear terms, no hidden costs, and features like expense tracking and real-time spending controls. These tools help encourage good financial habits. 

A digital credit card simplifies the process, especially when it comes with low or no annual fees. 

It supports your financial goals by helping you stay on track: pay on time, keep your utilisation low, limit new credit applications, and monitor your profile regularly.

Choosing the right card makes all the difference. The One Credit Card, a lifetime-free card, lets you manage expenses and track payments with ease. It also has a virtual variant that helps you shop online more safely. With transparent terms and the intuitive OneCard App, staying on top of your finances becomes simple and stress-free.

Enjoy features like 5X reward points on your top spending categories, no-cost EMIs on splitting your bills, and no hidden fees. Apply today and use it smartly to take the first step toward building your 750+ credit score!