In today's world, your credit is the difference between you paying thousands of dollars more in interest on home loans, credit cards and even your insurance premiums. Here are a few tips that you can take advantage of to improve your credit score and put money back into your pocket.

The fastest and easiest way to improve your credit score is to lower the balances owed on revolving accounts. The amounts owed on your revolving credit makes up 30 percent of your credit score and an over the balance limit can cost you in upwards of 50 points. To improve your score lower the amounts owed to 50 percent or less of the available balance, to increase it even more lower your available balance below 30 percent.

Another way to improve your credit score quickly and easily is to use a credit card that is open and with a $0 balance but has not been used in a 6 month or longer period. This will help restore the history associated with that account and the length of credit history accounts for 15 percent of your credit score.

If you only have 1 or 2 items open items reporting on your credit report you may want to consider adding a few items. An ideal credit report has 2 to 4 open revolving accounts an installment loan and a mortgage. This shows financial responsibility as different types of accounts are being used and makes up 10 percent of your credit score.

You should always be aware of your credit and receive your free credit report once a year. The best place I have found to get a free credit report is www.annualcreditreport.com. Once you receive your credit report you should also review your credit with somebody who deals with credit on a daily basis such as your loan officer or a credit repair specialist.

Jeremy Redlinger | Midwest Mortgage Capital | 763-957-0858