Fixing Your Credit, Fast: 7 Steps You Need to Take
Raising your credit score might seem overwhelming, but it is possible to do so rapidly when you follow a methodological process. These are the seven steps you can take to get your credit back in shape yourself.credit repair (ad)
Verify Your Credit Score and Report
First things first, get your free annual credit report here. com. This will give you insight into where you are now and possible inaccuracies that could be hurting your credit score. Keeping an eye on your creit report for mistakes as well….
Fix or Dispute Any Errors
However, if anything looks out of place within your credit report then contact the Bureaus and argue them. Big mistakes like missing payments, even due to you having no debt in your name yet or as a result of accounts which are not actually yours will lower the number considerably. Address these issues right away and you might see an increase in your credit score immediately.
Always Pay Your Bills On Time
(The Financial Network: Focus on Not Joining It) faction of your credit score(30%): Your payment history is the most significant factor in deciding whether or not you can be trusted with new money. Use a subscription service where you can put things on automatic, or set up regular reminders so no due dates are missed. One single late payment can affect you for years to come, start repaying on time as a way of demonstrating your creditworthiness.
Maintain Credit Utilization of Less than 30%
You should try to keep a credit utilization ratio (total revolving debt divided by total available credit) of 30% or less. This is responsible credit use and it could also help your score. You might want to pay off some of that current debt or request a higher line from your credit card issuers in the process.
Pay Down Other Debts
Cut back on debts (especially those with high levels of interest). Having a debt repayment plan, like the snowball or avalanche method can make it easier to work through old financial mistakes while making sure you take care of all other areas surrounding your money.
Keep Old Credit Cards Open
Even if you do not utilize them very much it can be good to keep older accounts open as the length of your credit history impacts your score. It is a great way to) keep an account active for longer, because then it looks better on your credit report.
Only Use Credit If You Need To
If you can avoid it, do not open new credit. You lose a few points for every new application because hard inquiries hit your report. If possible, it is always better to focus on responsible management of existing accounts instead of adding new lines.
If you adhere to these steps religiously, then you can get control of your finances and start building or rebuilding credit effectively.
