Bad Credit Repair: What They Don't Want You to Know

Despite what they will tell you, you absolutely can do it yourself, and you'll most likely do a better job of improving your credit rating than they do. It really is a good idea to take charge when it comes to repairing your credit, since frequently credit repair companies do more harm than good, and cost you not just your hard earned money, but also precious time.

The truth is, your credit report matters. It dictates whether you get a credit card, a home loan, a new car, a mobile phone plan, sometimes even a job. Cards are heavily promoted in malls, at baseball matches, and on university campuses, and just about anything imaginable the home can be had on installments: bedroom sets, plasma TVs, computers, you name it. Which makes it far too easy to get in over your head with payments you can't afford.

If your credit report is a mess... You're far from alone!

Not to worry, there are many things you can do to fix things up.

By law, you have the right to a request verification of any incorrect items on your credit report. All you need do is file a dispute directly with the credit bureau that is providing the incorrect information. They in turn are required to contact the creditor for verification. If your creditor does not respond within the permitted time (30 days), the law states that the item must be removed from your report.

The three major credit bureaus are:
Equifax http://equifax.com
Experian http://experian.com
TransUnion http://transunion.com

For free information on how to repair your credit yourself, visit repair-my-credit.org.


What if pretty much all of those bad are correct? Then you must get very meticulous and find inaccuracies. Items such as a paid off (collection) account showing delinquent, or an account that is 30 days late reported as 90 days late. Still, if the credit bureau cannot verify the accuracy the item within the 30 days, it must be removed.

Debt relief or consolidation is another important aspect of a credit repair program. Despite the glossy sales pitch, bankruptcy is almost never a good choice. Delinquent accounts on your credit report can be handled (after verification by the credit bureau) by contacting creditor directly and coming to agreement on a (greatly reduced) payoff amount. Just be sure to get a promise from them, in writing, to clear the item with the credit bureaus. The older the account is, the more willing they will be to negotiate with you, since the law states that negative credit items can only remain on your for report seven years. (Except in the case of bankruptcy, which again, the worst choice, remains on your report for a solid ten years).

Meanwhile, you can begin to rebuild your credit to get some positive items, which will help to improve your rating and assist your credit repair work. Seemingly small things do count: If you have any current accounts with balances, keep them up to date. It is essential to foster good relationships that will help your credit report.

Pay more than the minimum payment. Even if all you can afford is an extra five or ten dollars, this will reflect positively, as well as lower the balance much more quickly. If you use credit cards, pay off your balance each month. If you can't afford to do so, cut up the credit cards, and use a check card instead. Rebuilding your credit and accrue good items to your report is every bit as necessary as removing the bad items in your credit repair program. To find out more visit: credit information and repair solutions at repair-my-credit.org/freereport.