How To Repair Your Credit?

By: micklee

Sad but true...a low credit score will keep you away from living a better life. Your credit score determines all your payments, like mortgage, car, insurance, and even your credit card rates. More over, most employers will also check your credit score when you apply for a job. A few negative items and you are denied of most of the things. Thus, having realized the significance of a good credit score for customers, credit repair companies have come into the scene-promising customers to help them improve their credit score and fix the negative items.

How to repair your credit?

∑ The first thing is to realize that you are completely capable of repairing your credit. No credit repair company will be able to do anything that you are not capable of. Instead of wasting your time and money on credit repair companies, prepare yourself for the task of repairing your credit.
∑ In order to know what you are going to repair you will need to know all the information contained in your credit report. You will need to have the latest copies of your credit reports. Having a complete view of your credit history will help you know how to help yourself.
∑ Read, review your reports, look out for the information which are incorrect or arenít yours, check out for the errors that been made in reporting payments and late fees, your past accounts that are late, charged off or have been sent to collections

∑ In case you find any incorrect information in your account, you have the right to dispute it, send a letter to the credit bureau informing about the incorrect entries. If you sent a copy of your report highlighting incorrect information it will be much better.
∑ It is important to care of your past due accounts. Do what ever you can to stop your past accounts from being charged-off, and if you have charge offs, pay them, and work with debt-collectors to take care of your collection accounts.
∑ Maxed out cards will cost you credit points, you should thus bring them below your credit limit and continue to pay the balance completely.
∑ Now that you have cleared all your negative items on your credit report, work to create a positive information, you will need a new credit card to re establish your credit score, you can ask for your friend or your family to co-sign a credit for your best bet will be a secured card, and once you get that you must continue to make your monthly payments on time.

Sometimes there can be inaccuracies in your credit report, which will lower your overall credit score. When it happens some people turn to credit companies to help them with credit disputes. Most repairing agencies will promise them with much more than they can obtain. No negative information can be removed from your credit reports, unless you can proof that the information is false. If you think that the information is false you can file a dispute and notify the credit bureau. The credit bureau will check the information and if found false will rectify it. If the information is accurate it cannot be removed from your credit reports. However, if you choose to use the service of repairing agency, you are paying for the same work which you are capable to do.

These organizations are governed by the Credit Repair Organizations Act. Under this Act a credit repair company is obliged to you to give you a copy of your contract to view before you sign it, the contract has to include the payment that has to be made, a description of the services they perform on your behalf, the date by which the services will be performed, their name and the address, a statements about 3-day cancellation period. If the company does not provide you with the above, asks you to pay before the services have been performed, promises to completely remove all the negative items on your report, and asks you to create a new social security number, then you are being scammed.

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Mickle Jaacki is an expert writer writes about the credit repair business in wide-ranging. Learn about How To Repair Your Credit by visiting

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