How can I fix my credit?

Question

I want to get better interest on a car loan, but they said my credit score was low.

Answer 1

First, you should pull your credit reports from all three credit bureaus (TransUnion, Equifax & Experian). You can do this from each website or you can go to www.annualcreditreport.com and pull them. Each consumer is entitled to a free credit report per bureau per year.
After you have the reports, check the information. Pay close attention to the spelling of your name, DOB, SSN and previous addys. If you have a common name or are a Jr./Sr./II they could have you confused with someone else and their negative information could be hurting you.
After you know that they have you correctly identified in their files, go over the actual report with a fine-toothed comb. Look at the accounts - make sure that the open accounts reflect the correct limits, balances and payment histories.
If there are collections or charged-off accounts, address those immediately. Pay them off or try to settle. Open collections are bad news. Same goes for judgment and liens.
If everything is on the up and up, you might just have to wait a few months to see an increase in your score.
The two best ways to boost your score are: 1- pay your bills on time. On-time payments count towards 35% of the makeup of your credit score. And 2- reduce your debt ratio. If you have CCs that are close to being maxed or are maxed, pay them down aggressively. Your debt ratio makes up 30% of how your score is calculated.
I hope that helps!

Answer 2

It depends on how quickly you want to "fix" your credit.

If you have time and patience ask your bank/credit union to give you a secured credit card, for which you provide the funds. It works like a debit card with a VISA/Mastercard logo but shows up like a credit card at the credit bureaus. The thing to remember is that you want to charge something on that card each month and replace the funds on that secured account. The credit bureaus look for monthly regularity and fiscal responsibility.

Your credit score should be higher after one year.

Get rid of your unneccessary debts. Most people advise, pay your biggest debts off first and work your way down. See if you can transfer debts from high interest credit cards to low interest credit cards, and all the other usual commen sense advice.

Answer 3

I'd be wary of any company or site that claims to rebuild your credit fast. Some of these methods are illegal and costly and the biggest point is, you can do this yourself!!

After ID theft and bankruptcy I still got my score up from 486 to 730 in a little over a year, so this is something I know about from personal experience! I disputed all the negatives in my report and go into detail on how to do this in my website. This accounted for raising my score by 140 points!

Get a free copy of your credit reports too and look them over for errors! Mine was riddled with them. Orchard Bank is also a good place to get a credit card too.

Just don't expect a large or high limit and your interest rate will be highwer, but you have to start somewhere and I had one of these too and still do! they will grant you credit limit increases and lower interest as you build credit with them!

Answer 4

Get a credit card (preferably one with a 0% introductory APR) and use it to buy things like groceries. Pay it off in full at the end of each month, and your credit score will rise.

Answer 5

Fast Credit Repair

This website was created to help you improve your credit reports, get lower interest rates on your home and auto loans, and improve your credit score quickly.


http://fixingyourcredit.blogspot.com

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Answer 6

Just pay your bills on time and over time it will go up..