Tips for Credit Repair

<h1>Tips for Credit Repair</h1>Author: <a title="Chane Steiner" href="http://www.articlesbase.com/authors/chane-steiner/43848.htm">Chane Steiner</a> Need-to-Know Credit Repair Tips A less-than-perfect credit score is common today. Missing a single payment can drop your score by as much as 100 points! Fortunately, learning credit repair is possible for anyone willing to pick up a few new techniques. It's a painful fact that credit scores slip quickly, but they can rise just as quickly... if you follow the tips outlined below. Tip One: Lower Credit Card Balances To calculate your credit score, the bureaus compare the difference between what you have available and what you're actually using. If your credit is at its limit, or even close to that limit, then it's time to start paying off more than just the interest every month. Take some time to consider how you can reduce your spending, then use that money to reduce the principle on your credit. At the most you should have 30% in-use on any given card at any time. Creditors like people who have credit available; it's proof that you're a responsible consumer. Tip Two: Don't Let Old Cards Gather Dust Long-term credit is better-credit; at least as far as your credit score is concerned. If you have older, valid credit accounts gathering dust, break them out and use them! Charge (though no more than the 30% mentioned above) something to that account, then pay it off well within the due-date timeframe. That way, the credit bureaus show activity that makes you look like a well-established and valued consumer as well. Tip Three: Dispute Black Marks Per Federal regulation, each of the three major credit bureaus (Experian, Equifax and TransUnion) are required to provide a free copy of your credit report on request, once a year. Go to a different bureau every four months and request a copy; use it to stay knowledgeable about your credit and your specific circumstances. Go through each report when you receive it and dispute every single black mark on it. Those same regulations allow you to dispute any negative claim on your report. By disputing it, you're forcing the bureau to verify the claim. Because the bureau is selling your information for profit, it becomes the bureau's responsibility to make that verification and ensure that it's correct. Law requires the bureau to verify the disputed claim in a reasonable amount of time: 30 to 45 days. If they don't, they must remove it from your report. As a general rule of thumb, 40% of the disputes made aren't verified within that timeframe. This point is the single most powerful tool in your arsenal against bad credit. Don't hesitate to use it, and use it often! Submit your disputes by certified mail at the busiest times of the year, and you may join that 40%. These tips are just a few of the many options available to you to repair your credit. It takes attention to detail, steadfast determination, and no small amount of patience to make this work, but it can be done. Repairing your credit is your legal right, and something that everyone should do on a regular basis.About the Author: Chane Steiner is the president and founder of AAACreditGuide.com, the <a href="http://aaacreditguide.com">credit repair</a> authority site. He has helped many people repair their credit and get back on their feet. Chane has reviewed and recommends the following <a href="http://top-10-credit-repair.com">credit repair companies</a>.Article Source: <a href="http://www.articlesbase.com/">ArticlesBase.com</a> - <a href="http://www.articlesbase.com/credit-articles/tips-for-credit-repair-607801.html" title="Tips for Credit Repair">Tips for Credit Repair</a>

Need-to-Know Credit Repair Tips

A less-than-perfect credit score is common today. Missing a single payment can drop your score by as much as 100 points! Fortunately, learning credit repair is possible for anyone willing to pick up a few new techniques. It's a painful fact that credit scores slip quickly, but they can rise just as quickly... if you follow the tips outlined below.

Tip One: Lower Credit Card Balances

To calculate your credit score, the bureaus compare the difference between what you have available and what you're actually using. If your credit is at its limit, or even close to that limit, then it's time to start paying off more than just the interest every month. Take some time to consider how you can reduce your spending, then use that money to reduce the principle on your credit. At the most you should have 30% in-use on any given card at any time. Creditors like people who have credit available; it's proof that you're a responsible consumer.

Tip Two: Don't Let Old Cards Gather Dust

Long-term credit is better-credit; at least as far as your credit score is concerned. If you have older, valid credit accounts gathering dust, break them out and use them! Charge (though no more than the 30% mentioned above) something to that account, then pay it off well within the due-date timeframe. That way, the credit bureaus show activity that makes you look like a well-established and valued consumer as well.

Tip Three: Dispute Black Marks

Per Federal regulation, each of the three major credit bureaus (Experian, Equifax and TransUnion) are required to provide a free copy of your credit report on request, once a year. Go to a different bureau every four months and request a copy; use it to stay knowledgeable about your credit and your specific circumstances.

Go through each report when you receive it and dispute every single black mark on it. Those same regulations allow you to dispute any negative claim on your report. By disputing it, you're forcing the bureau to verify the claim. Because the bureau is selling your information for profit, it becomes the bureau's responsibility to make that verification and ensure that it's correct.

Law requires the bureau to verify the disputed claim in a reasonable amount of time: 30 to 45 days. If they don't, they must remove it from your report. As a general rule of thumb, 40% of the disputes made aren't verified within that timeframe. This point is the single most powerful tool in your arsenal against bad credit. Don't hesitate to use it, and use it often! Submit your disputes by certified mail at the busiest times of the year, and you may join that 40%.

These tips are just a few of the many options available to you to repair your credit. It takes attention to detail, steadfast determination, and no small amount of patience to make this work, but it can be done. Repairing your credit is your legal right, and something that everyone should do on a regular basis.

Chane Steiner is the president and founder of AAACreditGuide.com, the credit repair authority site. He has helped many people repair their credit and get back on their feet. Chane has reviewed and recommends the following credit repair companies.

Rate this Article:

0 / 5 stars - 0 vote(s)

Re-Publish

Article Source: http://www.articlesbase.com/credit-articles/tips-for-credit-repair-607801.html

Related Videos
Related Articles
Ask / Related Q&A

Play

Is Credit Repair Legitimate

Play

The Dolans Credit Clinic

Play

How to Get Free Credit Repair Information

Play

Legal Credit Repair

Play

Legal Free Credit Repair Manipulation

Latest Credit Articles
More from Chane Steiner

Title Loans Short Term Emergency Loans Only

By: Gen Wright | 25/11/2009
If you find yourself needing to take out a title loan, make sure it is a short term loan, and that you have a realistic exit strategy.

A History Of Credit Cards

By: Bob Hall | 25/11/2009
Credit cards have these days insinuated themselves into all corners of our lives, and it is rare for an adult nowadays to not carry one card. As well as being used in the conventional demeanour to buy services or goods in person, they also are now used online, over the phonephone, for writing checks, and even for withdrawing money from cash machines.

How to Get the Most from Your Rewards Credit Cards

By: Terry Mitchell | 24/11/2009
There are a number of reward credit cards available and if you use them the right way, you can end up with quite a few benefits. The trick is to work with them to get the most out of each particular reward.

Good Debt vs. Bad Debt

By: Terry Mitchell | 24/11/2009
Many people assume that all debt is the same and a very bad thing. That is simply not true . . . there are times when it is well worth getting into debt, but you need to know the difference between the good and the bad forms of it.

Online Payday Loans - How the Obama Administration is Making Online Payday Loans More Affordable

By: Matt Couch | 24/11/2009
Online payday loans are becoming much more popular among the millions of Americans who need quick cash before their next payday.

Is it Better to Get a New Credit Card Or a Payday Cash Advance Loan - A Case Study

By: Matt Couch | 24/11/2009
A recent case study has indicated that while a payday cash advance loan is a relatively high cost of borrowing, it is often a better financial decision than getting a new credit card.

Online Payday Loans - How the Obama Administration is Making Online Payday Loans More Affordable

By: Matt Couch | 24/11/2009
Online payday loans are becoming much more popular among the millions of Americans who need quick cash before their next payday.

Don't Underestimate The Importance Of Your Credit Score

By: Adam Singleton | 24/11/2009
Your credit score is essential in helping you secure credit and it's important to ensure you are aware of it.

Removing Charge Offs From a Credit Report

By: Chane Steiner | 30/10/2008 | Credit
Credit repair will not just come to you one day. If you do not seek to repair your own credit, charge offs will stay on your credit report by law for 7 years. If you pay a charge off it will still remain on your credit report. However, once a charge off has been paid it is much easier to have it removed from your credit than an unpaid charge off. The easiest way to have a paid charge off removed is to dispute it.

Why Americans Know Little About the Major Credit Bureaus

By: Chane Steiner | 19/10/2008 | Credit
The average consumer knows very little about the three major credit bureaus - and that's the way the bureaus want to keep it. There's only one thing that's certain and that's the fact they yield major power and control over financial lives. Do you agree this is true, and if so, why is it we know so little about these bureaus?

Tips for Credit Repair

By: Chane Steiner | 17/10/2008 | Credit
A less-than-perfect credit score is common today. Missing a single payment can drop your score by as much as 100 points! Fortunately, learning credit repair is possible for anyone willing to pick up a few new techniques. It's a painful fact that credit scores slip quickly, but they can rise just as quickly... if you follow the tips outlined below.

Help Repairing Your Credit

By: Chane Steiner | 17/10/2008 | Credit
The search for credit repair help can be a little scary at times. There are so many factors that come together to lower your score that it can be confusing as well. Your exact situation will always be just a little different from anyone else's; you need to evaluate it carefully. Once you're able to see exactly what's wrong, you can start researching how to fix it.

Credit Repair: How to Undo the Damage

By: Chane Steiner | 15/10/2008 | Credit
With appropriate measures and the right information, you can repair your credit rating and increase your credit scores. This one fact, however, is only half the battle. Because there is so much misinformation tossed around regarding credit repair, finding the truth and learning your federal rights under the Fair Credit Reporting Act is a must. Once you understand how the American credit system works, you are on your way to living a life of financial prosperity.

5 Steps to Repair Your Bad Credit Right Now

By: Chane Steiner | 15/10/2008 | Credit
There are many simple ways to repair bad credit. Everyone has had at least a few damaging accounts within their credit reports. It's difficult to not have ever experienced a blemish. Life happens and we must react accordingly. A temporary rating setback is common for nearly everyone. The key is to not stress too much about it. Just as your credit scores can be damaged easily, they may also be repaired.

Is it Possible to Raise My Credit Scores?

By: Chane Steiner | 10/10/2008 | Credit
The first consideration when you're trying to raise your credit scores is to know where you currently stand. Everyone has scores that range between 300 and 850. This number determines if a creditor will extend credit to you as well as interests rates you might pay, is based on your ability to repay a loan, the interest rate you might be offered, as well as often determining rental or mortgage payments.

Is it Possible to Fix Bad Credit?

By: Chane Steiner | 08/10/2008 | Credit
Remaining pro-active in your efforts to fix your credit is by far the best way. Removing negative accounts and adding positive accounts is the only tried and true method. Both of these processes can take some time, though. The time to start fixing your bad credit is now, not the day you are ready to apply for a loan. Depending on how bad your credit is, it can take as little as one or two months to fix and as many as twelve months to repair.