You need not suffer the effects of bad credit, no matter how you wound up with credit problems. Whether you have been personally damaged by economic conditions, victimized by dishonest lenders or even were simply too carefree in your spending, you deserve better credit. Don’t despair, because there are ways to get things back on track.
If you have credit that is not high enough for you to obtain a new credit line, sign up for a secured card. This card will be more than likely be granted to you, however you must fund the account ahead of your purchases as a sort of “insurance” to the bank that your debts will be paid. If you get a new card and use it responsibly, it will help to improve your credit score.
By opening an installment account, it could help improve credit score and you could have a decent living. Make sure that you are able to afford the payments on any installment accounts that you open. If you use these accounts, your score will go up rapidly.
In order to make sure that you do not overpay, know that you can dispute your really high interest rates. When a creditor hits you with incredibly high interest rates, you may have a case for negotiating to a lower amount. Keep in mind that you did sign a contract agreeing that interest rates were acceptable. If you decide to sue your creditors, you should be able to have the interest rates recognized as too high.
When you’re looking to fix your credit, be cautious of credit improvement companies. They may tell you they can remove negative information, but if it’s correct, it can not be removed. This information can stay on your record for about seven years. However, information that is not correct can be removed.
Stay in touch with credit card companies if you wish to repair your score. Maintaining contact shows your good faith and can help you minimize further debt. Talk to the company and see if you can change your due date or monthly fees.
Don’t attempt to fix your credit in a way that will result in you breaking any laws. Don’t buy into scams that suggest you create new credit files. It’s illegal to do this and you can get caught easily. You could go to jail if you have a lot of legal issues.
Dispute any errors that are on your credit report so they are removed. Compose a letter of dispute to every agency that reported errors, and include as much documentation as you can. Always send your dispute letters certified mail, so that you can get return confirmation. This will give you proof that the agency received your dispute paperwork.
You cannot live a life that is beyond your means. If you’ve been living outside your means, then get ready for a reality check. If you’re buying flashy items to boost your reputation, consider that a smart person who isn’t being chased by collectors will have an even better reputation! Take a realistic look at your financial situation and determine how much you can actually spend.
If you are determined and ready to learn, you can fix your credit in no time. Use what you have read here to get back on track with your credit.