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Many people advising you on how to improve credit score will have gimmicks and tricks to make short term jumps. Unfortunately, these don�t tend to work. The credit agencies aren�t stupid. They close loopholes quickly. But the advice sticks around long after the formulas change.

The best advice on how to improve credit score is to play by the rules.

That means using credit responsibly. The foremost advice I can give you is to take out only the loans you need and can afford. Then, pay them on time every month.

Some credit, like a home mortgage, is absolutely necessary for the functioning of life. With renting as the only viable alternative, your home is an important asset in your portfolio. The best advice for this kind of credit is to not buy more than you can afford to pay back and then make your payments on time each month.

Other credit, called revolving credit, involves mostly credit card debt. The advice for credit card debt is more complicated. For instance, you don�t want to max out your cards. At the same time, you don�t want to have multiple cards. You want to appear like you can handle the credit card debt that you have.

High outstanding debt on credit cards can lower your credit score. So, you should keep balances low. At the same time, you don�t want to have a lot of unused credit because that too makes you a risk. If you have $1000 in debt but $20,000 in available credit, the credit reporting companies recognize that you could go on a spree and suddenly end up over your head in debt.

Another trick some suggest for how to improve credit score is to move debt balances from card to card always chasing low teaser rates. The credit reporting companies have gotten wise to this trick. FICO says that paying off debt rather than moving it around is the effective way to improve your credit score.

You shouldn�t close credit cards as a short term strategy for how to improve credit score. While over the long run, having fewer cards can help the score, if you are looking for a short term boost, this can actually hurt you.

Similarly, you shouldn�t open a bunch of cards to make it look like your credit utilization ratio is smaller. You also shouldn�t open a bunch of accounts when your credit is new, which happens to a lot of young people who are bombarded with credit offers at their colleges.

If you want to know how to improve credit score, you should know that it is a long term process that mostly involves managing your credit responsibly, paying your bills on time, and not taking on more debt than you can afford. There are no quick tricks. There�s just responsibility.

That�s how to improve credit score.

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The credit score chart given by various analysts agree that the cut off for excellent is either 770 or 760. Freddie Mac, Smart Money, and PBS�s Frontline all agree that 770 is the cut off for �A+ Credit.� Fair Isaac (the company that compiles credit reports) and MSN Money peg the number at 760.

People who score in the mid-700s on the credit score charts should also qualify for good interest rates and many types of credit offers. Lending Tree and Bankrate agree that scores between 650 and 760 qualify you as having above average credit. Fannie Mae says that a score of 740 makes you an excellent risk for a home mortgage.

The average credit score for prime deals in the United States is 733. TransUnion, a major reporter of credit scores reports that a score of 730 is �very good.�

The average credit score overall in the United States is 723. CBS reports that anything above 720 means that you don�t really have to work on your score because you�ll be lumped in with higher scoring individuals by lenders.

As you fall lower on the credit score chart, though, you will start to have trouble in the form of higher interest rates. For instance, the Fannie Mae Foundation reports that a score of 675 can put you in a higher risk category for getting loans. 43 percent of minority home loan applicants have scores below 679 compared with just 32 percent of white applicants.

Newsweek advises people that if your score falls below 680, you should work with a credit rescorer when trying to get a home mortgage loan. The U.S. government�s Office of Thrift Supervision points out that scores below 680 usually do not qualify for prime lending rates on the credit score chart. 660 tends to be the bottom mark for banks being sure you�ll repay the loan.

When you fall below 600 on the credit score chart, you are considered a high risk according to the Dallas Morning News. Both Fair Isaac and the Consumer Federation of America agree that scores below 600 could make it difficult to get loans. CNN/Money says that a score below 600 could trigger a universal default clause in your loan.

Fair Isaac calls anything below 550 �awful.�

While looking at this credit score chart, you can see that there are slight variables in what constitutes a �good,� �average� or �bad� credit score. A 10 point variable can make a difference in interest rates at different banks, which is why it is a good idea to shop around. Your credit score chart is merely a guide to credit, not an indication of absolute cutoffs.