Repair Your Credit Rating

Written by Liza Hartung
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There are a few things you need to understand when you want to repair your credit rating. First, it is going to take some time unless you recently ran into some unexpected money. You will need to know how bad, or good, your credit report is. To do this, you will need to obtain your credit report by using one or all three of the main companies. You can usually get a copy for about $10. Sometimes you can get a free credit report once a year.

Your credit report will state all your loans, credit cards, mortgages and other such things. It will say how much you currently owe on the account, what is the most you ever owed, what your payment plan is and if you were ever late on payments. If you had late payments, they will be in bold type and will say how many times you were late and how late you were. All of these are used by lenders to determine if you should receive what you are applying for, such as a loan or a house.

Lenders will look at your credit report and will determine how likely you are to make your payments to them on time and according to terms. If your report isn't so good, you will need to start to repair your credit rating. The best way to do this is by paying your bills on time. Never miss a payment. Also, the faster you pay off your bill the quicker you can increase your rating.

Effectively Repair Your Credit Rating

When people look at your credit rating they not only look to see that you pay your bills on time, they also look to see if you carry around balances on your credit card or if you pay them off quickly. To effectively repair your credit rating, you need to make sure you are paying your bills on time and you are paying as much as you can.


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