A recent article outlined the average credit scores across the nation and ranked the top ten states with the highest average credit scores and the lowest ten states.

Unfortunately Louisiana made the list for the states with the 10 lowest credit scores. In fact we were second to last, falling just behind our neighbor Mississippi.

While the national average credit score is at its highest since 2012, coming in at 675. Here in Louisiana our average is at 650. Mississippi, whose ranked the lowest had an average credit score of 647. And Georgia ranked just above us had an average credit score of 654.

While is is unfortunate that our state was one of the lowest ranked, it doesn’t mean we can’t do anything about it. According to credit.com, there are ways to improve your credit score. First they suggest obtaining a copy of your credit score from each of the three bureaus. Experian, Equinox and TransUnion are all required to provide one free annual copy of your credit to you if requested. Use this free copy to make sure that all the reports are accurate and if you spot errors you can dispute them with the credit bureaus.

Credit.com also suggest to use the copies of your credit report to pinpoint areas of your financial plans that you need to improve and then create a plan to change your habits. If you have a habit of paying your credit card payments late, change the due date on your calendar to a week before its actual due date to make sure you aren’t late or sign up to have the payments directly withdrawn from your bank account. They also suggest clearing up any collection accounts, opening a secured credit card and limiting the amount of applications your sign up for. 

With these tips maybe the state of Louisiana can be ranked a tad higher next year on our average credit scores. As frustrating as the credit system seems to be, its a part of life that really matters. Especially if you are looking to buy a home. And since home mortgages continue to increase nationally each year, it’s important as a state that we improve our ranking in this area so that we can access home ownership by having the best credit score possible.

 

information obtained from: 

credit.com

Realtor Magazine