When you have bad credit card repair to handle, your first inclination is to close the account and stop using it. Most of the time this does not help your situation.
I cannot even begin to tell you how many folks I talk to that did
and now totally regret the decision.
At the time it may have seemed like the right decision, but that is so far from the truth when it comes to bad credit card repair.
But before I go any further on that point, here are a few of the basic essentials.
Get a Copy Your Credit Report. Every year, you may request one free report. Do it, take advantage of the system. You get one free credit report from each of the three major credit bureaus. That is 3 different reports you can look at. You can order them all at once or stagger them through the year. Either way, do it and check for inaccuracies.
Most people are under the illusion that you get the credit score too but that is not accurate, you only get the report.
Also, if you have been denied credit, you can request a copy from the same credit bureau that the potential lender or financial institution used. Again, just so you know these methods will only get you the reports not the scores. If you have to you can buy your credit scores and reports also.
Take a look at your report and you can see what you credit situation is.
Don't Compound The Problem. Consider this the most vital of all bad credit card repair advice. You do not want to make the situation worse by paying bills late, not paying them at all, or getting overextended. Repeat: don't compound the problems that are contributing to your bad credit score. Pay our bills on time.
Don't Overextend Yourself. When you owe a great deal of money
and your credit card balances are topping out, your credit score will
drop and drop significantly. Keep your debt level under control and you
will see your bad credit score improve.
Pay them down by starting with the highest interest rate first. Make a list of your creditors, make a budget, pay the minimum balance on the credit cards, and the one with the highest interest, pay as much as you can. When that one is paid off, add that amount to the card with the next highest interest.
Keep the Account Open - bad credit actually helps sometimes. First, it keeps your balance to limit ratio low, which reflects better on your credit score. Also, bad credit history is better than no history.
If you close an account, you just took away the “time” factor (how long you have had the account) AND kept the bad history. That time factor helps your score.
Take Jenny’s Advice Jenny was able to get information removed from her report. Learn from her experience.
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