It would be great if you could dial 911 and report an emergency credit problem. The truth is you can. You can create an emergency credit situation and use that urgency to begin developing a strategy for your personal credit success. A strategy for success can vary in many degrees. It could be, that you need to work on your credit so the interest rate doesn't have you upside down on your loan. Or, you might be wanting a piece of that good ole' American dream and that is to own a home to call your own. Anything you want is of the taking and it can be yours. It may take a good prescription of time, patience and some work. So here are two ideas that I find common on credit reports that need improvement. One idea is opening 2-3 lines of credit to begin the credit-building process and the other is getting bad debt removed from your credit report using the FCRA (Fair Credit Reporting Act) as your guideline.
Opening a line of credit doesn't take work at all, but depending on your credit status, it just may mean that you get the most undesirable terms. Is it really a time to get picky? I don't think so. This is the time that you have to pay your way to the top. By the way, don't open the lines of credit and start running up the credit balance because then you will be right back in the position you started. If you must use them, don't go over 35% of the credit line. For example, if you are given $1,000 credit line, don't charge over $350.00. Immediately, the new account will benefit you because it is a new line of credit and in the long run it will benefit you because of the positive payment history. Another thing to make sure you do is begin your own credit lines and not piggyback off of others because that is beginning to become non-existent. It may help your score, but it will not help if any creditor decides to analyze the credit report. Start developing a strong habit of caring for your credit as you would a child. If you look at the opportunity in that respect, you will see that it can be the most motivating stepping stone because you are in control. That is the true key to new lines of credit. The key is being in control and developing responsible credit habits.
Moving on to debt removal is not as easy as it sounds. It does take work to analyze every account and make sure the account is being reported accurately. If they are not being reported accurately for any reason, it is grounds for deletion from your credit reports because it is misrepresenting the character of the account. Time and persistence will help you be successful at removing bad debt because it will allow you to understand the reporting process with the credit bureaus. It will also help you understand your rights and the checks and balances credit reporters have to abide by. Removing bad debt from your credit reports could be for the sole reason that it is past 7 years from the date of last activity. The date of last activity is marked from the first month no payment was received. Make sure you become familiar with the FDCPA (Fair Debt Collections Practices Act) and the FCRA (Fair Credit Reporting Act). These laws will help you understand the misrepresentation of the debts in question.
As you possibly know by now, you either have good or bad credit and it does not matter if you are rich or poor. I have had the opportunity of knowing a senior citizen with the income of $9000.00 a year with a 778 credit score. Imagine that. It doesn't take what you don't have it takes what habits you do have. If you are a credit addict, well, say no more. Your situation will not improve without change. If you have the motivation and desire to reach for the highest credit score possible, you will reach the success that will only make your life easier. Credit does matter and the proof is all around you. Reach for something better. Grab hold of that goal by the reins and ride it till it is accomplished to its fullest. Don't let the people around you that are dependant or believe in you, down. So, a credit emergency is not so bad after all if it stimulates a reaction for the better. Credit is life and life is credit. Demand it of yourself to have a better life.
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