How to repair credit.

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There is a big misconception about repairing credit. Many people think that you can only fix your credit by making payments on debts. However, it’s important to understand that only payments and debt reductions will not make an impact on your score. You also need to take other actions to bring your credit to a healthy state. For example, if you have collections accounts, then you need to get rid of them. If you have bad credit, then you need to make sure that you do not have bad debts lurking in your credit report. We can help you with the tips and methods that will allow you to repair your credit and improve your overall financial situation.

Understand what you owe.

If you are a 99%er, the chances are you’ve heard the term “credit score” a bajillion times. It’s hard to go one day without hearing about your credit score in the news, on TV, or even on the radio. But the chances are you don’t know what your credit score is, or how it is calculated. And you may not even know what is considered a good credit score. But you can understand what you owe without an expert. The credit report is an account of your credit history. It will include information about where you live, how you pay your bills, and whether you’ve been a good borrower or a delinquent one. The credit report also lists your “credit accounts”, which are credit cards, loans, mortgages, your payment habits, and even your creditors details to name a few.

If you’re like most people, you’ve probably been told more than once to pay your bills, or at least keep up with them, to maintain good credit. And although it’s true that bills need to be paid on time, it’s not the only thing that matters. Owing too much on credit cards, for example, can also negatively impact your credit score. (In fact, carrying a balance on a credit card can lower your score by as much as 100 points .) Your credit report lists all of your accounts and their status. A good credit report lists only those accounts that are in good standing. Accounts that have been opened and then closed (for example, credit cards that you had for a while but then canceled) will appear on your credit report. So deliberate efforts are really needed.

Contact your creditors.

Not paying your bills on time is a surefire way to damage your credit. However, you’ll also want to be sure you contact your creditors as soon as you realize you won’t be able to make a payment on time. You’ll want to do this so that they don’t report your delinquency to the credit bureaus, which would negatively affect your credit score.

If you have excessive debt and are struggling to keep up with your payments, your creditors may be willing to work with you. Contact them by phone, email, or in person to explain your situation and request a modification. But make sure to follow up, as most creditors will only negotiate with you for a short period of time. Also, be wary of scams. As there are consumers who have fallen on hard financial times may be tempted to use a debt consolidation company as a desperate work around.

Who can repair your credit?

Let’s say your credit score is low. If, for example, you have a low score, then this will make it harder for you to get credit, like a loan, a mortgage, or even a car. A low credit score also means that when you do get credit, you’ll have to pay a higher interest rate. (To help with this, read our article “What is Credit Score?“: How They Work and How to Improve Yours”.) The question is who can repair your credit? The answer is, while there are a few different ways to improve your score, there’s only one sure-fire way to do it: pay down your debts. This doesn’t mean that you need to have a decent payment plan to do so. But there are times that records does not accurately present the actual scenarios, there will always be potential errors and mistakes. Well, because apparently they are just records.

There are many scams out there selling false promises of improving your credit score. There are legitimate ways, but it takes a lot more than just doing so to actually see a difference. To start with, you need to figure out where you stand. This means getting a free copy of your credit report to see what’s currently being reported. You can do this without a credit card by filing a request through credit repairs agencies like CF Assistant where consultation is free. If you do this correctly, you should receive a credit report within 10 to 15 days. Remember, your credit report is used to determine your credit score. If there are errors on your report, you can work with the credit repair agency to get those errors corrected.

The Fair Isaac Corporation (FICO), a credit bureau that created the most widely used credit scoring system in the world, publishes a list of what it considers to be the major contributors to your score. These are the top 5 factors that affect your credit scores:

1 Payment history (35%)
2 Amounts owed (30%)
3 Length of your credit history (15%)
4 New credit (10%)
5 Type of credit used (10%)

(Info from




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