How To Repair Credit

Be fair, attentive, and customers
will return.

Recession, rising gas prices,
loss of a job, foreclosure, and/or
illness contributes to a
damaged credit rating.

Most times, you can't control
the circumstances that
lowered your credit rating.

At least, there are ways to
help repair it.

Start by getting copies of
your credit reports. You
have a right to free reports.
You are allowed one a year
from each of the bureaus:
Annualcreditreport.com,
Transunion, or Equifax.

If you're in the UK, and
want to check your credit
report, for free:
http://www.annualcreditreport.co.uk/.

"Why get a credit report?"
Several people asked.

It describes what needs
repairing. Check off any
information that's incorrect.
Start making telephone calls,
writing letters, or take the
necessary steps to get it
repaired.

It takes time. Often, you'll
have to stay on top of it.
Keep pushing until it's
repaired.

Remember, your credit
rating determines if you'll
get some jobs, loans, just
about everything.

It can be emotional, hard,
but think of the results.

Contact creditors to
right bills paid, but not
noted.

If you find you can't pay
incoming bills, don't
panic.

Call the creditor. Let
him/her know you're
having financial difficulties.
You'd like a payment plan.
Will he/she work with you?

Some credit card companies
will reduce interest on your
credit cards. It isn't
automatic, ask about it.

Use the interest rate
reduction to help pay
the debt.

It's a must that you
stop using credit cards.

Spending at this point
makes your situation
worse. It puts stress on
you, because you're
struggling already.

Cut-up the credit cards,
for now. Concentrate on
repairing your credit. With
the credit cards in pieces,
the habit, need, to use them
disappears.

Budget everything. This includes
the amount of water you use,
electricity, etc. Try not to
spend more than is allotted.

End eating out, trips to the
theatre, and using money on
anything that's not a
necessity.

The prepaid credit card gives
you an option. It helps while
you're repairing your credit.

In conclusion, an account,
credit card, that's paid late,
stop using it. Pay it on time,
or make a deal with the
creditor. Cut-up credit cards,
and budget.