To get a house or a car, you need to have credit. And if you want to have the best payment options, you’re going to need GOOD credit.
A national TV station did a story on credit cards and debt in America. One of the main finding was that most Americans don’t have the slightest clue as to how their credit report affects them, much less repair it.
Hopefully this article will help you be aware of how you can start repairing your credit, which methods are effective and which are not.
Lots of companies advertise how they can fix your credit fast. Most of these companies don’t necessarily fix your credit. Instead, they charge you incredible fees and cut off all contact with you upon completing their ‘job’. You will realize later on that nothing good really happened to your credit.
So What Works?
There are a few different things you can do to fix your poor credit report. First is to check your credit report. Three companies are required by law to send you your report once every 12 months, upon your request. A great way to stay informed is to ask for your report from a different company every 4 months. You’ll be able to check it 3 times a year this way.
After you KNOW what’s on your report, you can dispute any error that you find. There was a case of a woman who originally owed less than $10 on a credit card. Stopped paying her bills. The charges and fees accumulated every month, so she started paying it down, but not before it had reached thousands. She paid her bill for over 24 months, and when she saw that she still “owed” thousands, she went to court. The judge ruled for her, and wiped her remaining debt. What you don’t know can hurt you, and in the case of your credit report, ignorance is not bliss.
pay your debt regularly
Another thing you can do to repair your credit is to pay your debt regularly. One famous wealth-building author and speaker suggests that you do everything in your power to pay twice the minimum amount.
Start with the card with the least amount owed and work your way up if you have multiple credit cards. Pay the minimum balance on the other cards while you get rid of the smallest balance. Follow these steps, take the time to learn about your credit report and choose the best credit repair company you can find.