Five Easy Credit Repairs That Will Make a Difference

Five Easy Credit Repairs That Will Make a Difference

If you are having trouble obtaining new credit, you should know there are a few credit repairs that can make a big difference to potential and current creditors. Many people still don’t know they are somewhat in charge of what their credit reports say about them, and sit back and let credit card companies determine our creditworthiness. By making a few credit repairs, you can raise your credit score just enough to make a difference.

Name and address: When someone requests your credit report, they type in your name and connect it with your social security number. If they type your name incorrectly, it will inadvertently be connected to you. This goes for your address as well, so check for typos.

Employment history: Dates and places of employment may be listed differently with the different credit agencies. Compare listings with your actual job history and have them reflect accurately.

Late payments: If you missed a payment because your mail got lost, call your creditor. Often, they will waive the late payment fee, but be sure to check your credit report to make sure they removed the late payment notice. Inadvertent late payment markings are easy to eliminate from your report, with proper documentation.

Collections: If you have any collections or liens against you, check the facts listed. The best way to remedy these is to pay them off quickly and request their removal. Unpaid collections will remain on your report for 7 to 10 years.

Credit balances: Your FICO score is largely based on your debt to credit ratio. Check your balances to make sure your payments are being timely credited to your accounts. You want to aim for having no more than 25% of your available credit used.

Depending on your situation, there might be other necessary changes. The key to keeping your credit worthy of low interest rates and new accounts is to check your reports from all three agencies and make any credit repairs you can as soon as possible.

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