5 Ways To Use AI To Boost Your Credit Score |

There’s a lot of chatter about chatbots and “AI-powered” apps right now. As a credit cards writer, I wanted to cut through the jargon and find ways for you to actually build credit with the help of artifical intelligence.

I also spoke with an expert about how AI is leveling the playing field for everyday people.

At 17 years old, Cynthia Chen came to the U.S. as a first-generation immigrant to attend college in New York City. Her only possessions were the suitcases in each hand.

“I was just fascinated by the fact that my American classmates all had credit cards, and I’d never seen that in the country where I grew up,” Chen says.

She taught herself how to responsibly use credit by applying for a student credit card on her 18th birthday. At 21, she’d built enough good credit to buy a car and lease an apartment.

Today, she’s the CEO and co-founder of an AI credit-building tool, Kikoff. Chen wants to improve financial accessibility for every American — including those with lower incomes, language barriers or disabilities.

Let’s explore five ways AI can work for you as you’re working on your credit score.

1. Use AI to understand your credit report

First, tap into the analytical power of AI to unpack your credit history.

Start by obtaining a free copy of your credit report from AnnualReport.com. Then, head to ChatGPT or your preferred chatbot and upload the document with a prompt like, “Can you analyze my credit report and point out areas for improvement?”

I tested it out with my Experian credit report, and here are a few things it broke down for me.

• Credit utilization: While I was only carrying a small balance on a couple of other credit cards, I’d recently booked international flights with my travel card — and since I pulled the report in the middle of the billing cycle, my credit utilization was higher than the recommended 30 percent. ChatGPT suggested paying off that card mid-cycle to bring my utilization back down. When I did so, I noticed a slight increase in my credit score.
• Credit age: I’d closed a few accounts in the past that had a positive payment history, which shortened my credit age. (This was before I was a Certified Credit Counselor. Now I know better!) I agreed with ChatGPT’s suggestion to not close any more accounts, but to keep them active with small charges.
• Credit score improvement: ChatGPT projected my credit score growth over the next six months, indicating I could reach my ideal score by early 2026. That’s helpful if I plan to apply for a loan or mortgage in the near future.

You can also do this with an app like Kikoff. “It would take a very long time, even for a pretty studious consumer, to fully digest and understand each line item on their credit report,” Chen explains. “We use AI to distill the information and present it to the consumers in a very consumable way, and also provide a list of very concise action items for them to take.”

2. Use AI to help build your credit score

Certain AI-powered tools and apps can help you improve your credit score.

For example, the Cleo app uses AI to monitor your budget and make financial suggestions. You can even chat with “her.” And Cleo users who apply for the Cleo Card can use it to build credit with minimal risk — thanks to the security deposit and autopay feature that make it hard to miss payments.

And while credit score simulators aren’t new, you can take it a step further with a chatbot. Try prompts like, “If I pay off my student debt by the end of 2028 and keep all my current accounts open, what might my credit score be then?” or “How many points could my credit score drop if I apply for a credit card this month?”

3. Use AI to spot errors on your credit report

A 2024 study by Consumer Reports and WorkMoney found more than 2 in 5 respondents (44 percent) had at least one error on their credit report. You can use an AI chatbot to find and dispute credit report errors that may be hurting your credit score.

Try the following prompt: “Can you thoroughly check my credit report for potential errors?” When I did so, ChatGPT returned the following observations:

• Name variations: My name is listed slightly differently across some loans, with either my full name or nickname and, sometimes, my middle name. While that doesn’t directly affect my credit score, it could if the credit bureau confused my file with someone else.
• Hard inquiries: I only had one recent hard inquiry on my credit report, but there were also a number of recent soft inquiries from card issuers sending me preapproval offers. ChatGPT (mistakenly) flagged them as hard inquiries — but I appreciated the notice, because I’d need to dispute them if they were.
• Phone number: I spotted two phone numbers on my report that weren’t mine. ChatGPT explained it could either be a file mix-up or an early sign of fraud, and suggested I dispute it with Experian and set up a fraud alert.

ChatGPT also offered to write a dispute letter or email on my behalf, with all the required information, to address any mistakes.

4. Use AI to negotiate with your card issuer

You may not know that lenders and collection agencies are often willing to negotiate with debtors — after all, getting some money back is better than none at all. However, not everyone is comfortable having that conversation. That’s where AI comes in.

Kikoff uses voice AI to speak to a lender or collector on behalf of the consumer. For example, if you owe $4,000 on a card, Chen says the AI agent could get the debt lowered to around $2,400 that you pay off over a period of time in installments.

According to Kikoff, these negotiations work 77 percent of the time, and users have reduced their debt by an average of 30 percent.

It might sound strange to have a robot negotiate for you. When I asked whether lenders and debt collectors are receptive to it, Chen said it depends: “Some companies are very open-minded about this idea, and they will work with voice AI.”

But she explains that, in the future, AI may become the new norm — lenders will also be using their own AI operators, so negotiations will be AI to AI.

And for people who struggle with talking on the phone, whether that’s due to a language barrier or disability, an AI negotiator can be game-changing.

5. Use AI to make a debt repayment plan

If you’re in credit card debt, it could rack up your credit utilization and lead to missed payments, which hurts your credit score.

But debt repayment can be tricky to navigate on your own. You’ll need to make a budget, choose which card to pay off first and figure out your repayment timeline. AI can help.

You can enter all your debt information into a chatbot, including your current balances and APRs, and ask it to give you a debt repayment plan. You can also ask for help nailing down other important details, like how much disposable income you have per month.

And if you’re planning to use a tool like a balance transfer card or debt consolidation loan, it can help you compare costs and choose which one is best for you.

The bottom line

Having good credit isn’t just a flex — it’s a sign of financial stability. Just ask Chen.

In addition to being a CEO, Chen is a single mother of two boys. “For any single mother, having this kind of financial security is very important,” she explains. Any tool, including AI, that can help you build credit, including AI, is worth exploring.

Ready for more ways to use AI? Learn how to make a budget using ChatGPT.