For consumers in the market for a used car in New York or New Jersey, having bad credit does not mean that you can’t afford your vehicle of choice. However, improving your credit score can make it easier to obtain a car loan and can lower your monthly payments.

If you have bad credit or even no credit, don’t feel that you are alone. Currently, there are over 30 million people in the U.S. that have significant blemishes on their credit report. Taking the steps to improve your credit score will take some time, but it is not an overly complicated process.

The easiest way to improve your credit is to pay your bills on time. Delinquent payments can have a negative impact on your score– being punctual with your bills can help eradicate past mistakes.

“The mantra for getting a great score is pay your bills on time [and] keep account balances low,” says Craig Watts, consumer affairs manager for Fair Isaac Corp, quoted by BankRate.com.

“People who do that faithfully have very high scores. It usually means you’re being conservative and cautious about credit. It’s not a toy and it shouldn’t be a hobby,” he added.

Moreover, be certain to pay off any past-due notices before they are forwarded to a collections agency. Any bill sent to a collector will stay on your report for the next seven years. If you feel that your bill is inaccurate or unjustified, make sure to contest it before it becomes past-due. Even if you are absolved of a particular charge, interest payments and late fees may show up on your credit report.

Another good tip for raising your credit score is to keep your credit card balances as low as possible. Holding on to debt from month to month will not only increase your interest payments, but will also harm your credit score. Also, do not simply move your debt to other credit cards – it will not help lower your score, reports MyFico.com, a consumer credit advice website.

Furthermore, check your credit card limits before making a purchase that will involve your credit score. “Your scores might be artificially depressed if your lender is showing a lower limit than you’ve actually got,” says Liz Weston of MSN Money.

The good news is that car loans can be much easier to obtain than personal loans. If you have good credit or bad credit, New Jersey State Auto Auction has the financing resources to get you approved.