Trouble-free, Straightforward Credit Repair Tips For Everybody

By Stanley G Woods

Numerous folks have suffered the ill effects of having negative credit, particularly in the past couple of years when the economy has been in a recession. There are now many folks who always had excellent credit that are acquiring difficulties now. The fact is that many people do not quite appreciate exactly how credit scores are determined or what, if anything they can do to increase their scores and improve their credit.

There are various factors that are considered when ascertaining a credit score. Making payments in a timely manner is vital but there are other factors that are also essential factors. How much credit you have accessible compared to how much credit you have used is very critical along with the form of credit that you have and how frequently you apply for new credit. If you have maxed-out credit cards or credit lines it can be very disadvantageous to your credit score. For the maximum credit scores try to keep your owing balance at less than 20% of the obtainable credit.

If you want to make a impressive modification in your credit score you can either pay down your balances to below 20% of the amount offered or you can get your credit limit increased so that your balance is below 20% of the available amount. If you have credit obtainable but you do not use it you are considered to be a good credit risk.

Credit history is also important. The longer you have had a credit card or a line of credit the more emphasis it is given when it comes to ascertaining your credit score. If you have just experienced a financial downturn, such as a bankruptcy, it is intelligent to get a new credit card to rebuild but if you are attempting to just improve your obtainable credit avoid new credit lines or credit cards and use the ones you have had the longest.

If there is inaccurate credit listings on your credit report you can deliver a dispute and maybe get it removed. You must submit a formal, written dispute to the credit bureaus explaining what is incorrect and why you consider it should be deleted. The credit bureaus will then have a precise amount of time to either confirm the truth of the information or remove it from your credit report. A federal law called the Fair Credit Reporting Act or the FCRA gives consumers the right to dispute erroneous credit so take advantage of that opportunity.

Most credit reports do have some errors and inaccuracies so the credit bureaus get many disputes. It has been estimated that as many as 40% of these disputes do not get proven by the credit bureaus within the time period, therefore the listings are removed. So you have a good chance of getting results if you present a dispute.

Make sure that you maintain accurate records of all of your credit repair activity. Keep copies of all correspondence both to the credit bureaus and creditors and from them. Also make sure that each disputed listing is addressed independently in an individual letter rather than combining your dispute requests into one letter.

It takes time to get good results with credit repair. You may need to be relentless and keep trying until you succeed but don't lose hope because you can repair your credit and after you do it will be greatly beneficial to your financial life. - 31382

About the Author:

Sign Up for our Free Newsletter

Enter email address here