Credit Repair: Taking Control of Your Finances

The first thing you need to do is begin immediately. Credit repair can take as little as six months if you put your mind to it, so why wait any longer? Make your decision and stick to it. Focus will be a key component in staying straight on the path to credit repair.

When you sit down with your credit report, scan it very carefully for questionable errors. It’s very often that credit bureaus make mistakes, especially with the lower scored reports, so make sure they didn’t make any on yours. When you find issues worth disputing, take the time to write clear, pointed letters to the bureaus stating exactly what your issue is and include your account information. Try to avoid lengthy explanations and focus on making your request clear and simple. Once you send off your letters, be patient in waiting for a response, as bureaus are known to take upwards to six months to issue responses. If you feel like your request has not been addressed, be prepared to send a second or third letter. Always keep your calm and remain patient. Even though you may get frustrated sending dispute letters multiple times, remember that you want something from these people, so you don’t want to make them feel rushed or pressured. While you are waiting for the response that you want, channel your time and energy into rebuilding your score.

Waiting for a response and rebuilding a credit score both take about six months. While rebuilding, investigate which types of credit cards are right for you. Pre-paid cards will allow you to be constantly adding value and will help you to avoid going further into debt. Additionally, you can always just get a standard credit card, as long as you are prepared to accept a high interest rate. You don’t have to let the high interest rate depress you, as long as you carry a small balance and pay it off each month. Regular repayments are what is going to give your credit score positive points and ultimately give you better credit.

If at any point you feel overwhelmed by the rebuilding process, you should look into hiring a credit repair company to help you manage your debt and guide you through the repair process. They can be quite inexpensive and very helpful for someone who needs to be pointed in the right direction, towards excellent credit.