Improve Credit Scores

There are a number of things you can do to improve your credit score. Your credit score is a big deal. Lenders use this score as a measuring stick. They use it to determine who they will lend money to and what interest rates they will charge. If you have poor to mediocre credit, you need to take active steps to improve your credit score especially if you plan to buy a car or home, lease a living or commercial space, apply for a new credit card, and/or apply for a loan.

There are some simple things you can do to improve your credit scores. First of all, you should know your rights as described in the Fair Credit Reporting Act (FCRA). You have six fundamental, basic rights under the FCRA. First, you have the right to challenge the accuracy of your credit reports at any time. Second, these credit bureaus are obligated to reinvestigate your challenges.

Your Credit Rights

Third, the credit bureaus have to reinvestigate your objections within a reasonable amount of time--30 days should constitute a reasonable amount of time. Fourth, if the credit bureau discovers an error on your report, this error must be deleted instantly. Fifth, if the credit bureaus don't confirm or deny your challenge within 30 days, the challenged information must be deleted from your files right away.

Finally, you can issue a "consumer statement" of your position of the problem on your credit report. If you dispute the accuracy of the information provided on your credit report but your creditors verify the information as accurate, then the credit bureaus are obligated to put your "consumer statement" explanation in your credit report. This gives potential lenders an explanation of certain unfavorable items on your credit report.