2006-07-13 14:41:47 · 7 answers · asked by Dyana M 1 in Business & Finance ➔ Credit
There are hundreds of sites on the Web that will promise to help you. Some offer decent advice, and some are thinly veiled scams that will only put you deeper in the hole. Steer clear of anyone who promises to "erase" your bad credit. Virtually all of these quick fix schemes are bogus. The most common ones either set you up to use a tax ID number instead of your SS# (illegal), or they shotgun the credit agencies and dispute all the negative information. The latter tactic will boost your score for a few days, but legitimate bad debts will wind up right back where they started.
Every situation is a little different, but there are some steps that will help most anyone:
1) If you haven't done so recently, request a copy of your credit report from the three main agencies. Go to annualcreditreport.com for details on how to get them for free once a year. What you don't know CAN hurt you.
2) If there are any GENUINE mistakes, follow the procedures for that agency to dispute the information.
3) Any small old debts should be cleared up right away. Either pay them outright or call and ask what they will settle for and pay that, but close them out. The number of delinquent accounts is a major factor, and it just doesn't make sense to leave things on there that you CAN pay. I've seen debts as small as $20 that have been let go.
4) Mortgages and car loans - If they are not current, get them caught up, and keep them current. Late payments month after month really hurt your score, and if making up one extra payment will put you current, it's money well spent.
I hope that helps.
Best of luck to you.
2006-07-13 15:06:39 · answer #1 · answered by Jay S 5 · 1⤊ 0⤋
I just helped my daughter rebuild her credit. Assuming you have messed it up, it will take about two years to be able to get back on steady ground, assuming you keep paying your debts. Here's the plan.
1) If you owe a lot, call the credit card people, the insurance people and anyone else you owe money to. Explain to them you want to pay off your bills and ask for a lower interest rate. You may have to give up the card, but you might get a lower interest rate.
2)If you don't have a job, get one
3)Make a budget. Plan to pay bills when you get paid. Double up payments if you can, or throw an extra ten dollars in as you can.
4)Take your lunch to school/work. Save the money of buying extras and lunch each day.
5) Talk to a debt consolidation group, if you a lot to pay off.
6)Commit yourself to the job of becoming debt free.
7)Know that you will have to keep at it. Never give up!
2006-07-13 15:00:10 · answer #2 · answered by erlifesaver 2 · 0⤊ 0⤋
First, ketch up all of your bills that you are late on. Than make sure that you pay the minimum on all credit cards and other loans. While you are doing this, cut up all excessive credit cards and reduce you lifestyle to be within your means. I have been through a bankruptcy and now 3 1/2 years later, I have better credit than I have for a while by living within my means and taking out small amounts of credit that I can pay off quickly if I need to.
2006-07-13 15:58:34 · answer #3 · answered by andy 7 · 0⤊ 0⤋
Sure do,
First thing you need to do is strart paying your payments on time. That is one of the first things you have to do. Second thing is get a credit card of some kind if you do not have one already. You may have to put money in a savings account somewhere to get a card and you will pay a yearly fee to use it asweel. Charge it up and pay it off over a couple of months. If you charge it up and pay it off at the end of each month you will not gain anything because there was no payments so no credit report given. This will take you a couple of years to get things back in order if you work hard.
2006-07-13 14:48:38 · answer #4 · answered by Don K 5 · 0⤊ 0⤋
The below website should help you out a little bit. Here are a few tips...
1. Pay your bills on time
2. Pay more then the minimum balances
3. Idealy you should have no more then about 20% of your available credit spent
2006-07-13 14:49:36 · answer #5 · answered by Crystal W 1 · 0⤊ 0⤋
Try to get a small signature loan, and pay it off on the set up schedule, instead of all at once......that is a quick way to do it, your score will build as you pay it off....also, destroy your credit cards, you can live without them, I swear, lol.
2006-07-13 14:47:28 · answer #6 · answered by Mike G 3 · 0⤊ 0⤋
Yea,pay your bills and quit being a dead beat
2006-07-13 14:45:15 · answer #7 · answered by dogtown_zboys1975 2 · 0⤊ 0⤋