Bad Credit Repair
If you have bad credit and recently been turned down for a loan, or for a new credit card, you may be in need of credit repair.
Being turned for credit is often the result of a bad credit report, which can happen in two situations. You have
either managed your personal credit poorly, which is reflected in your credit report; or your credit report contains some erroneous
information, thus negatively impacting your score. In either situation, it is important that you undertake bad credit repair as
soon as possible.
BAD CREDIT REPAIR TO DOES:
Here are some steps you can take to help with your bad credit repair. You can take these steps on your own and thus repair your credit for
free.
- Request a free copy of your credit report from any one of the 3 credit bureaus. If this is your first request of the year,
you will be given your report for free.
- Once you have your report in hand, examine it very closely. You have to study all the entries and make note of all those which are
not correct and which are damaging your credit worthiness.
- After you have determined any entries that are in error, you need to contact the credit reporting agencies and tell them to
delete the erroneous entries from your report.
- Even if there are some correct entries in your credit report, but these are negative in nature, you may still
be able to get them removed. This would go a long way toward repairing your credit. Negative entries should only remain
on your credit report for a certain period of time (usually between 7 and 10 years). If such time limit has passed, you
should write to the credit bureaus and ask them to delete the negative items from your report.
- Ensure that all your correspondence with the credit companies and agencies is through registered or certified mail. This way,
you have proof of your requests and also exactly when you initiated the process of repairing your credit. Keeping an
accurate record will also help you in the event any deleted entry is re-included in your report at anytime in the future.
- Within 30 days, some action should have been taken regarding the wrong items on your report. If the credit bureaus
determine that the entries were in fact incorrect, they will remove it from your report, thus bringing about the credit
repair that you seek.
In case the matter is not resolved to your satisfaction, you should continue challenging the items on your report
till such time that your credit repair has met your expectations. Keep in mind credit repair may be and ongoing
process and thus will take some time
BAD CREDIT REPAIR NOT TO DOES:
Consumers whose credit score is low or who have a bad credit report will often try some very desperate means to repair bad credit and thus
end up hurting their credit even more. Most of the information available on credit score repair and credit report
repair tells you what to do to restore good credit. However, we will tell you about some of the things that you
should NEVER do in order to repair bad credit.
- Many bad credit repair companies lure people with the false promises of bad credit repair by telling
them that they can create a new credit file for them by issuing them a new identity. However, you need to
understand that such a process is not legal and can even put you behind bars if you try to
segregate your credit file to repair bad credit. Thus, no matter what any credit repair company tells you - things
like you will not be able to get any loans or even a credit card for the next few years, or that you will not be able
to get a job etc; under no circumstances should you agree to the process of file segregation to repair bad credit.
- Deleting accurate information from credit report: Some credit repair agencies make claims to people that they can
repair credit by getting accurate information of a negative nature deleted from their credit reports, thus improving
their credit rating. However, this simply cannot be done. Only inaccurate information can be removed from a credit
report and not accurate data, unless such data is older than 7 to 10 years. Thus, you should not trust anyone who
tells you that they can repair bad credit by removing negative items from your credit report.
- Advance Payments: No credit repair agency is legally allowed to ask for advance payments. They can only charge for
services that have already been given and not beforehand. Thus, you should NOT be taken in by any company who wants
high advance payments.
