To improve your creditworthiness, which of the following should you prioritize?

Maintaining a low credit utilization rate is a crucial factor in improving your creditworthiness. Credit utilization refers to the ratio of your current credit card balances to your credit limits. It is recommended to keep this ratio below 30%, as lower utilization indicates responsible credit management. Lenders see this as a sign that you are not overly reliant on credit, making you a less risky borrower. A low credit utilization rate can contribute positively to your credit score, which is an essential measure of creditworthiness.

Using no credit cards at all might limit your ability to build a credit history, as credit scores are based on how you manage credit over time. Borrowing large sums frequently can raise red flags for lenders, as it may indicate financial instability and a higher likelihood of default. Changing jobs often could adversely affect your creditworthiness as well, since job stability can be a factor considered by lenders when assessing an individual's ability to meet financial obligations. Therefore, prioritizing a low credit utilization rate is the most effective strategy for enhancing creditworthiness.