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Credit Education > Credit Repair > Credit repair for a newbie

Credit repair for a newbie

By Janet Lacey
Published: Tuesday, April 20th, 2010

When you want to get your credit score up but are having a tough time doing so, there are a number of options that you can make use of. The one requirement that all these methods have is that anyone who tries them needs to be patient and give it enough time. There is no method that can do credit repair overnight. Even if something or someone promises you of such a thing, be skeptical and don’t reveal any of your personal information. Sometimes, it might just be a scam to get more information and make you lose more money in the end.

Check your bank accounts and verify that payments are being sent regularly to the companies that you owe money to. This could be a number of things like utility bills to any outstanding debt that you might be having. If you are defaulting on your payments, it is nearly impossible to do any kind of formidable credit repair. This is because you need to keep in mind that missed bills are one of the primary reasons for people to lose out on their credit scores. Although sometimes you might have missed the payment by mistake, don’t make it a habit to lose track of them.

If you have multiple credit cards with a lot of debt, it is going to look bad on your credit score as well. Hence, another way to perform effective credit repair is by paying off your credit card debt before the due date. If having too many credit cards is a problem, then you should consider cutting back and not having too many credit cards to being with. Also, reduce your credit limit so that you don’t have a chance of spending more than you ought to.

If you have a habit of getting involved in traffic accidents and making frequent claims on your insurance, it might affect your credit score as well. Hence, this is another way in which you can achieve credit repair. Many people don’t realize all the consequences of some of their action until it is much too late. Thus, being a good driver also helps build your credit rating. As much as possible, build your credit score from every possible angle so that you might not have to suffer excessively when you do something like miss out on a payment or probably default on your loan installments.

Another renowned way of credit repair is by frequently using your credit card and repaying the bills quickly. This is a technique that many people use to build their credit score. In fact, using the card and then paying it almost immediately back is a known way of being smart with your money and building your credit rating. Not everyone does this as they don’t like to make use of their credit card more than they are supposed to. In fact, people who are having a crisis with their credit score would rather not do anything about it other than just cut back on their credit cards and hopefully their credit debt.

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