Recent economic situations not just in the U.S. but worldwide have left many people in a bad financial state. So many people lost their jobs by corporations downsizing or closing altogether. Not being able to find new employment has caused havoc for numerous people. You may be one of the affected and have been left having to deal with a bad credit history.
If you find yourself in this situation don’t despair, there are ways to overcome a bad credit history. We will attempt to point you in the right direction and help you on the path to repairing your credit history.
The easiest thing you can do each month to repair your bad credit history is to pay your monthly bills on time. If you have the money available then pay each bill in full before the due date. This one thing can have a huge positive impact on your credit history.
Next take a look at the amount of debt you have on each credit card or loan. Pay off the smallest amounts first if possible. Your aim is to lower the amount of debt you have in relation to your available credit. Paying off as many balances as possible creates a positive credit score.
If you have a large number of balances then credit card or debt consolidation may be an answer. The main thing to watch for here is that your interest rates do not increase substantially after the first 6 months. Many companies offer consolidation at really low introductory rates, only to hike them after the introductory period is finished.
If you find yourself having to use a credit card then do not max it out. This definitely hurts your credit history rating. Always stop using the credit card once you have reached 75% of your available credit.
Take advantage of the free credit reports you are entitled to each year. Go over them carefully and have any errors removed. If there are any debts on your credit report which are older than 7 years you can ask the credit bureau to remove them. Remember for this to apply the 7 years starts from the date of the last inactivity on the account and not when the account was first created.
When you are suffering with a bad credit history it is very easy to just want to through in the towel and give up. Don’t! Just start implementing some of the steps above and your credit rating could start to improve within 60 – 90 days.
For additional information on repairing bad credit history give us a call for a free consultation.
Call us for a FREE credit consultation (646) 396-0448
Take control of your credit now! While you continue to wait; the great deal on that car you wanted will be over; the house you dreamed of will be sold; the job you had your heart set on, will be given to someone with a better credit score. Nothing is ever gained by procrastination. Start Your Journey on the Road to Good Credit Today!