What can individuals do to improve a previously negative payment history?

Making timely payments consistently is the most effective way to improve a previously negative payment history. Payment history is a critical component of credit scoring models, often comprising a significant portion of an individual's credit score. When individuals commit to making payments on time, it demonstrates to creditors that they are responsible and reliable borrowers. This positive behavior can gradually offset past negative marks against their credit report, helping to build a better credit profile.

Establishing a track record of on-time payments can lead to a gradual improvement in credit scores over time, as these positive entries will be recorded in the credit history and begin to outweigh the earlier unfavorable information. This consistent, reliable payment behavior is an essential strategy in financial management and creditworthiness.

The other options, such as closing old accounts or seeking more credit cards, do not effectively address the issue of past payment history. Additionally, increasing credit utilization can further damage credit scores by indicating a higher level of debt relative to available credit, rather than helping to improve the situation. Therefore, maintaining timely payments is the most direct and beneficial approach to rectifying a negative payment history.