Millennial Money

“The 7 Fruits of Budgeting” and founder of FinCoach Consulting in Winston-Salem, North Carolina.

Skipping out on things like utility and cell phone bills could send those accounts into collections, which definitely can harm your credit.

Put other good payment histories and habits to work

Speaking of utility and cell phone bills: While these on-time payments traditionally aren’t factored into credit reports, tradition is changing. Experian Boost offers a free way to add positive bill payment information for those kinds of expenses to your Experian credit report. To participate in Experian Boost, you must create an account through Experian.

“Two out of three consumers see an improvement in their credit scores, with an average increase of about 13 points,” says Rod Griffin, senior director of consumer education and advocacy for Experian. “People with thin credit files, with fewer than five credit accounts, are reporting an average increase of 19 points on their FICO 8 scores.” (There are many FICO score versions; FICO 8 is among the most widely used in approval decisions.)

The catch? Not all lenders use Experian or the scoring models affected by Experian Boost when making lending decisions.

Another scoring model, known as UltraFICO, is still in the pilot phase. Once it becomes publicly available, consumers can opt in to allow access to their checking and savings account activity. This includes how long accounts have been open, the recency and frequency of bank transactions, evidence of consistent cash on hand and a history of positive account balances. Like Experian Boost, however, opting into UltraFICO won’t have an impact on all of your credit scores.

Paying your rent, too, can help build your credit history. Some landlords and property management companies already report payments to credit bureaus, but if yours doesn’t, ask if they would be willing to start. Or consider signing up for a rent-reporting service. A record of on-time rent payments not only helps your credit, but it also makes it easier to qualify for other rental homes in the future.

Become an authorized user

This does involve getting a credit card, but it doesn’t require you to open the account yourself, use it or even have the card on hand.

It requires only that a primary account holder — perhaps a family member or loved one — adds you to their account. You’ll be issued your own card, but the primary user is liable for any debt you accrue.

To bolster a thin credit file, be sure the primary user already has a good and lengthy credit history and check to see if the card issuer reports authorized users to the credit bureaus.