First thing is to check your credit. Go ahead and sign up for a real credit monitoring service, not one of the FREE ones. Bottom line is they leave out MOST of the details. They don’t even have account numbers. You need to know the facts to help yourself.
You can find credit monitoring and credit reports HERE.
Errors are very, very common. The Fair Credit Reporting Act states that credit bureaus cannot report inaccurate information about you. Look through your personal information and dispute any incorrect information and dispute ALL addresses except the one where you currently live.
Let our software find your inquiries and derogatory information and dispute all of them.
Do not spend more than you make. The banks and lending institutions want you in The Credit Trap and they want to keep you there until you die. You must stop the madness. Do not let them get the best of you. They make Trillions off high interest rates of people with bad credit. Do not give them the satisfaction.
If you want to fix bad credit, you need to start paying all of your monthly bills on time, period!
If you’re behind on any bill, get caught up as soon as you can. On-time payments are the single most important factor to your credit scores. Simply put, your credit won’t improve until you can consistently pay every bill on time.
Keep your credit cards under 30% of your available credit and preferably keep them at 0%. Credit bureaus analyze your debt load as a ratio. If you charge $500 on a card which has a $1,500 limit, you’ve used 33%, which is better for your credit score than charging the same amount on a card which has a $1,000 limit (50%), both of which are better than being maxed out (100%). Credit cards are for emergencies, not daily living. And please do not transfer balances and then close the accounts. And do not pay them and then close them – you are only hurting yourself. Keeping the accounts open increases your average age of account and also increases your overall amount of credit available. Both HELP your scores.
Finally, resist the temptation to open a new credit card, even when a store offers a discount on your purchase for doing so. Each time you apply for credit is listed on your credit report as a “hard inquiry” and if you have too many within two years, your credit score will suffer. In general, a consumer with good credit can apply for credit a few times each year before it begins to affect their credit score. If you’re already starting with below-average credit, however, these inquiries may have more of an impact on your score and delay your ultimate goal of watching your credit score climb.