Learn How to Repair Your Credit Score!
If you have ever asked yourself the question, “How do I repair my credit score?” then you will want to read on. We will be taking a look at easy ways you can improve your credit score.
Get out of debt!
Paying off your revolving debt is one of the best ways that you can fix credit fast! Because 30% of your credit score comes from the ratio between your total revolving debt load and your total credit limits, reducing your credit card debt can have a huge impact on your overall credit score
Even if you can’t pay your credit cards off in full, you can still make a big difference in your credit score. Anything that you pay off will help. But, if you can, try to get each credit card down below 25% of your total available credit limit.
Dispute!
The Fair Credit Reporting Act gives you the right to dispute anything in your credit file that you find questionable. Cleaning up errors (and even a few things that are accurate) can have a big impact on your overall credit score.
First, you will need to get a current copy of your credit report. Review it carefully and make note of any errors as well as any derogatory items that you feel are worth attempting to get removed. You should only dispute two or three items at a time.
For items that you know are accurate, there are some general guidelines for what is worth your time to dispute. You want to look for items that are between two and five years old. Consider starting with items that are doing a lot of damage such as collections, charge offs or items that have been reported as 60 days or more past due.
Once you select the items you want to dispute, write a letter to each of the three major credit bureaus. Send it via certified mail. The credit bureaus will notify your creditors, who will then have 30 days in which to respond. If your creditors do not respond, or fail to verify the account, it must be removed from your credit file.
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