In terms of fast credit repair, there’s no quick and easy method you can use to repair your credit overnight. Unfortunately, it takes time and some quick fix methods can backfire. The best advice for repairing credit is to learn how to responsibly manage it. Your first step should be focusing on repairing your credit history, which is the only way you’ll see your score improve. Our tips can help you to fix your score as quickly as possible, however, this process can take three to six months.
Fixing Your Credit Score Now
First things first, get a copy of your credit reports. Go over your reports and look for errors. A credit report contains the data that’s used to calculate your score and it’s possible it contains errors. Look for late payments that have been listed incorrectly, in addition to the amount owed for each of your accounts. If you find any errors on your reports, you’ll need to write the credit bureau. Having an error on your credit report fixed is probably the easiest way to fix your score in a matter of weeks.
Tackling Your Debt
Taking care of the amount of debt you owe is much easier said than done. You can apply for a credit repair loans to boost your credit rating, but this type of loan typically takes twenty-four months to pay off and comes with penalties attached if you try to pay it off early.
By reducing the amount of debt you owe, you can get a respectable credit score. After you have requested your credit report from all three credit bureaus make a list of all the accounts you have then check your recent statements in order to determine how much is owed per account as well as the interest rates. Create a payment plan that will put the majority of your available monthly budget toward your debt, paying the highest interest credit cards first. The remaining money should go toward maintaining the minimum payments for other accounts.
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If you’ve found a number of errors on your credit report or notice that old accounts that have been paid off are still showing up on your credit report, write the credit bureau. If there’s an error, they will contact the company to dispute the account. But even if you’re right and there is an error, this doesn’t mean the account will be removed from your credit report. Some people have success requesting that the account be removed from their report. But it will be up to you to stay on top of your credit report and ensure the credit bureau removes the appropriate accounts.
On the same token, if you feel that someone has somehow opened an account in your name, without your approval, you’ll need to contact the police and file a report. You can send a copy of the report to the credit bureau and the company that the account is with in order to have the account removed from your credit report.
How A Late Payment History Can Affect Your Credit History
Most people are surprised to learn that making a late payment is one of the fastest ways to ruin your credit. Even if a payment is only a few days late your score can be instantly affected. The longer you pay your bills on time, the more your score will increase. Older credit issues count for less, which means your history of late payments won’t show up on your credit report forever.
But by making all of your payments on time, you can boost your credit score in a matter of three to six months.