how do you fix bad credit and I heard that if you show strong activity for 6 mon it fixes it but how you do it

Answer 1

You can't fix bad credit right away... the three credit agencies like Equifax, Tansunion (i'm not sure about the 3rd one) use a FICO score to determine your score. Your score is made up of 35% based on payment history (on time payment), 30% capacity (how much in debt you are capable of having ... meaning that if you have more credit cards even w/o any balance you are considered more risky b/c you are capable of getting in debt ...so the more credit cards you have the worse it is), 15% lenght of credit, 10% accumulation of debt in the last 12-18 months (# of applications you send out), 10% mix of credit....

Now, the credit agencies look mostly at your activity in the last 12 months...40% current to 12 months, 30% 13-24 months, 20% 25-36 months, and 10% 37 +months ...so after about 3-4 years you can improve you score significantly

Also, to imporve your score pay down on credit cards (make more than a min. payment), do not close credit cards, make payments on time, slow down on opening new accounts

Keep in mind that every time you apply for example ... a credit then your credit score lowers...it's something that no one really tells you but it does happen... hope that info helps!

Answer 2

Pay off all your balances for all your credit cards. Close all your credit cards (Except for 1 of course). Pay all your bills on time (cell phones, mortgages, car payments) everything. Do not apply for any credit cards for the next few years. Do not apply for any loans and do not take cash advances on your credit card. Do not overdraw from your checking accounts. The main thing is simply to make all your payments on time and not apply for loans and credit cards. The less money you BORROW from anywhere, the better your credit score gets. Good luck.

Answer 3

you can get a company to consoladate your payments.
You can also call your credit card companies and tell them you are broke and ask if they can cut a deal with you. Lower the interest.
Then stop using your credit card unless you can pay it off that month. Otherwise you will owe your soul to the credit card companys.

You need credit cards for emergencies not for extras. Learn to live within your means

Answer 4

You have to start off by paying off all your debts. Then you get a credit card and make all your payments on time. Start with a small credit card from a department store ex: Macy's.

Answer 5

i might say to first grab copies of your credit record from the three significant companies (Equifax and TransUnion are 2 of the three). next, call the businesses in question, enable them to renowned which you will possibly opt to pay them, get the handle guidance, and ask them to deliver you a letter asserting that the debt has been paid. you may then use those letters to deliver copies into the reporting companies so as that your record would be as much as date to paid status. yet another element to do is to verify to make sure how long particular forms of guidance stay on your credit (i.e. inquiries, previous due pays, etc.). you may properly be waiting to do away with a number of the previous stuff basically through fact those products could have, with the aid of regulation, fallen off of your record interior of a definite time-physique. On those products, you may dispute the time cut back and that i think of they could be bumped off. i wish this helps you.

Answer 6

Generally the most recent debt has a greater impact on your score than older debt. Concentration on recent debt and clean that up results in a faster 'fix'.

Answer 7

YOU CAN NOT FIX CREDIT EITHER YOU PAY OFF THE ACCOUNTS AND IT SAYS "PAID IN COLLECTION/ OR AT TERMS" OR IF YOU CHOSE NOT TO PAY THEM YOU WILL HAVE TO WAIT 7 YRS AND THERE IS NO ONE ON EARTH THAT CAN CHANGE IT!