There are two steps to fixing a bad credit rating.
1.Remove negative items from your credit report.
2.Build positive reporting accounts.
Let us look at the second part first because this is much easier. You should open a new credit line and make on time monthly payments. Additionally pay all your current bills on time.
This will create a trail of positive on time payments. We suggest an unsecured credit card, however if your credit is very bad then you may have to open a secured credit card.
The second step is deleting bad items from your credit report. This is by far the best way to raise a low score. If you do not remove these items it does not matter how many positive reporting lines of credit you have because the bad credit items will continue to lower your score.
However there is a lot of inaccurate information that says you can not delete an item from your credit report without waiting seven long years. This is not true.
The credit bureaus have spent millions of dollars creating this myth. The reason is because it costs the bureaus time and potential profits to investigate disputes.
Additionally the bureaus have created a rumor that credit repair is illegal. This is not true.
Not only is credit repair legal the government has passed laws to protect you and your credit. The Fair Credit Reporting Act passed by Congress says that a listing can only remain on your report for a maximum of seven years. It says nothing about the minimum amount of time a listing must remain.
While it may not be the most ethical to dispute a mark you know is accurate, it is your government protected right. You will never have any legal prosecution, arrests, or monetary fines for disputing a listing.
How ethical is it for lenders to charge you exorbitant interest rates, late payment fees, and over the credit limit fees. Also you can have 20 years of on time payments but that will not matter when you are delinquent that first month.
Frequently life throws us a curve ball such as; illnesses, unemployment, medical bills and more. How ethical is it for lender to punish you for a catastrophe for seven long years. You could have been the model customer for 20 years earlier.
In sum you dont just have to live with a bad credit score you can remove the negative items off. This will help you achieve the score and the life that you and your family truly deserve.
If you would like to make a comment, please fill out the form below.
