The following is a guest post about tips to fix poor credit.
It can be hard to improve your credit for a number of reasons. Poor credit can be difficult to talk about or share with others, so it’s hard to get the kind of information you need, in order to make a change. There is information out there and here are a few great tips that may help you to fix poor credit.
How To Fix Poor Credit
Use Your Credit Cards
Use your credit cards to pay for daily expenses. You can repair your credit by using your credit card to pay for the small things you buy everyday such as gas and food. Even if you have to purchase a credit card to do this, it may be worth it down the road. Building up a good credit score is just one of the many credit card benefits, which are often overlooked.
Make sure to pay the bill in full every month of course; this kind of regular payment in full is very good for your credit score.
Be Careful When Closing Accounts
While repairing your credit only close a couple of accounts every six months. Sudden changes on your credit report reflect instability and can lower your credit rating instead of improving it. Take your time when going through the process and this will help to improve your credit score.
Examine Your Credit Report
What is hurting your credit score? When you are repairing your credit, take a look at your credit report and figure out what is damaging your credit. Is it late payments, maxed out credit cards, collection accounts? Work on getting these things taken care of make sure you do not repeat these mistakes again.
An important tip to consider when working to repair your credit is the fact that if you have poor credit, you might not qualify for the housing that you desire. This is important to consider because not only might you not be qualified for a house to purchase, you may not even qualify to rent an apartment on your own.
Follow Up With Creditors
To repair your credit as quickly as possible, always follow-up after paying off a debt. That means not only contacting the lender to ensure that they update your credit status but also checking your credit reports to make sure that the new status of that account is shown. Credit reports are updated quarterly, so getting a paid account off your report should only take a maximum of three months.
Credit repair does not happen overnight but is something that must be learned over a period of time. It takes you time to get bad credit and it’s going to take some time to get back to good credit. However, the good news is, that there is information out there. The sooner you get started, the sooner you can repair your credit.
photo by luigi diamanti
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