Fix Your Credit Score With These Tips
Posted at by CreditWiz on category CreditHas your bad credit score prevented you from getting the things you want in life? Many people have credit scores that are getting worse. Fortunately, there are many things you can do to help improve your credit again, and your first step is as easy as reading this article.
Pay down the balance on any credit card that is 50% or more of the credit limit. When balances are over 50%, your credit rating goes down significantly, so try to either spread out your debt or, ideally, pay off your credit cards.
Opening up an installment account will help you get a better credit score and make it easier for you to live. An installment account requires a monthly payment, make sure you can afford it. If you use these accounts, your score will go up rapidly.
You need to work with the companies from whom you have credit cards. This will keep you from increasing the amount of debt that you have. One way to tackle this problem is to call them and ask if you can have the due date or monthly charge amount changed.
Credit counselors should always be researched thoroughly before being consulted for credit repair. Many counselors are honest and helpful, but others may be less interested in actually helping you. Some are simply fraudulent and are out to get your money. Before you conduct any business with a credit counselor, check into their legitimacy.
Read your negative reports carefully when attempting to rebuild your credit. Even if the negative report is true, if you can locate an error in the report, it may be possible to get it removed.
Too many credit cards is a common cause of financial strain, so close all of your accounts aside from one. Transferring multiple balances to one single card is a way to gain control of your finances. By doing this you can make your bills more manageable. Instead of a mailbox full of credit card bills, you will only have one.
When you get your monthly credit card bill, check it over to see if there are any mistakes. Immediately report any errors to your credit card company to prevent a bad mark on your credit report.
When you pay your bills on time, you are keeping your credit score high. Every time you make a late payment, it is logged in your credit report which can hinder your ability to take out a loan.
Be very careful about credit professionals who state that they could fix your credit quickly. Because so many people are having credit problems, predatory attorneys have appeared who charge exorbitant fees for useless or illegal credit repair schemes. Get reviews on a lawyer before you go to them for help.
Build your credit back up to repair it. If you use a credit card that is prepaid you can build up your credit and not have any bad credit reports. Potential lenders will see that you are working towards becoming more responsible with your credit.
Make any records of any threats that a collector makes because it is highly illegal of them to do that. Laws such as the FDCPA exist to stop debt collectors from harassing debtors.
Paying all of your bills in a timely manner is a vital component of determining your credit score. Setting up payment reminders is a great way to help you make your payments on time. You can do this in a number of ways. You can establish them through your online banking account, where reminders will be sent to you through email, or you can have debtors send a text to you reminding you there is a payment due.
Avoid frustration about a low credit score. These strategies can aid in stopping your credit score from going down and you will be able to make it go up again.