Repair Credit History – Proven Strategies That Will Work For You
Posted October 18, 2009 – 5:57 pm in: CreditBefore we roll up our sleeves and take the gloves off I highly recommend that you bookmark this article. You will need to refer to it repeatedly. I also recommend that you get something to take notes with.
Let’s begin by getting you organized. You will want to generate a list of whatever revenue you currently have coming in. Don’t forget to include revenue such as government checks, tax breaks, or any additional pension payments. Next make a list of all your fixed expenses, i.e. utilities, rent and or mortgage payment, car loans, groceries, etc. I think you get the point of what a fixed expense is. By following this process you will develop a good understanding of where you are making mistakes with your finances.
It’s time to take action. Contact your creditor and negotiate some sort of repayment plan. Once you and the creditor have come to a mutual agreement you will want to get the agreement in writing. DO NOT leave it up to the creditor to draft up the agreement letter, it will never get done. Since it is you that need them more than they need you, it is recommended that you take the initiative to draft up an agreement letter and send it to the creditor along with a self address stamped envelope.
If you have a damaging history of delinquencies, and a poor credit score, I recommend that you write to the creditor asking them to change any charge-off to a, “paid as agreed”, or “paid in full, on-time.” The same strategies that I am sharing with you right now will also work with collection agencies and credit attorneys as well. The most important thing about using this technique is to remember… DO NOT SEND ANY MONEY UNTIL YOU HAVE AN AGREEMENT!!! In the past I have had students send a payment in with the agreement letter just to find there self standing in front of a judge, and worse than that they lost the case and ended up spending more money.
The next method that I recommend to my students is to start a new line of credit. This method is very easy all you have to do is get an secured credit card, secured loan, or an car loan. Out of the methods that I have listed getting a secured credit card is by far the easiest one. It is also important to note that the balance of your secured credit card should never be more than 20% of the maximum credit offered.
The information that I have given you in this article is guaranteed to help you repair credit history fast. Hands down this article is a great start, however it isn’t enough to give you the financial freedom that you truly deserve. Without correcting the errors currently on your credit report all of your efforts will be worthless. Unless you have some rare credit situation I suggest that you not waste your time attempting to repair your credit yourself. Don’t take my word for it visit the website of the Federal Trade Commission who will tell you… “There is nothing that anyone can do for you that you cannot do for yourself.
Visit my blog and download the do it yourself credit repair kit that has successfully helped hundreds of my students repair their credit themselves.
Tags: Credit, credit rebuilding, improving credit, legal credit repair, repair credit history, repair credit score
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