Tuesday, July 24, 2012

Tips For Fixing Your Credit Rating Posted By: Irene Lizarraga

Credit repair companies that help you fix your credit are a popular option during though economic times. However, many of the things that those companies will do for a fee can be done by you, for free. This is specially important if you suspect you have been victim of identity theft. Once you are sure the information in the report is correct, you need to identify which are the causes affecting your credit, and take steps to solve them.

The first cause of low credit scores are late payments, collection accounts and charge-off. They will hurt your credit score more than any other factor. However, only accounts that are pending for more than 30 days are liable to hurt your credit score. The first thing to do to fix your credit is either paying them or arranging with your creditors for new credit lines and payment plans, to convince them to remove the charge-off and collection accounts from your credit report. They don't have to, but you may be able to negotiate with them to so do.

Your level of debt also affects your credit score badly, and this includes balances on credit cards.

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