Raise your credit score before a mortgage: a realistic plan

What moves a score

• Payment history. The CFPB says most credit scores treat it as the number one factor. A single new late payment can undo months of progress.
• How much of your limits you use. Scoring models look at your balances compared with your credit limits. The CFPB notes many experts recommend using less than 30 percent, and that people with the highest scores often use less than 10 percent. You do not need to carry a balance to get a good score.
• Length of history. Older accounts paid as agreed give scoring models more evidence. This factor changes slowly, so protect it rather than trying to build it.
• New credit. Each application can add an inquiry, which the CFPB says typically has a small negative effect. Apply for credit only when you need it.

The six-month plan

Months 6 and 5. Turn on automatic minimum payments for every account. Pull your three reports at AnnualCreditReport.com and start disputes for any errors. Make a list of each card's balance, limit and statement closing date.

Months 4 and 3. Pay down cards, starting with the ones closest to their limits. Pay before the statement closing date if you can, because the balance on the statement is often the one reported. Follow up on disputes.

Months 2 and 1. Check your reports again. Avoid new accounts, new financing offers and large purchases on credit. Keep the cash you need for the down payment and closing costs separate from the money you use to pay down debt, so you do not trade a better score for an empty savings account.

After you apply. Lenders often check credit again before closing. Keep paying on time, keep balances low, and ask your loan officer before opening or closing any account.

What not to do

• Do not pay for credit repair promises. You can dispute errors yourself for free. Accurate negative information generally cannot be removed just because you ask.
• Do not close your oldest cards to look tidy. That can raise your utilization and shorten your history.
• Do not move debt to a new card or loan right before applying. The new account and inquiry can cost more than the transfer saves.
• Do not drain your savings. Lenders look at reserves and cash to close as well as your score.

When your score is close to a cutoff

Program rules and pricing often change at specific score levels. FHA's maximum financing, for example, depends on whether the decision credit score is at least 580. If your score is a few points below a level that matters, ask your loan officer what the lender's own cutoffs are and whether a rescore after paying down a balance is possible. The rapid rescore process runs through the lender, not through you.