A Division of Addleman Law Firm

Fix Your Credit Problem And Get Back Control Of Your Finances

Your credit may have greatly suffered when you spent more money than you could actually afford or had to make ends meet in this poor economy. You are in luck, though. These tips will help you get your credit score to that mythical 850.

If you have a poor credit rating, it can be extremely difficult to obtain a mortgage loan for a home. An FHA loan can be helpful in such a case since the federal government backs these loans. You may even qualify for an FHA loan if you don’t have enough money for a down payment or the closing costs.

The first thing you need to do before beginning to repair your credit is outline th steps required to do so, then follow those steps without deviation. However, if you are not prepared to alter bad habits regarding your spending, nothing will ever change. If you don’t need something, don’t buy it. Look at your purchases closely. If you cannot afford something, and you do not need it, do not buy it.

TIP! If you make a decent income, consider an installment account when you want to give your credit score a boost. Choose an installment account you can afford, since you will have to leave a certain amount of money on it at all times.

If you have credit that is not high enough for you to obtain a new credit line, sign up for a secured card. You are more likely to be approved for this type of card because, once funded, the banks feels secure that you will pay them back. If you use it correctly, a new card can help you fix your credit.

Interest Rates

To avoid paying too much, you can refuse to pay off huge interest rates. There are laws that protect you from creditors that charge exorbitant interest rates. Your initial agreement likely included a commitment to pay interest. You need to be able to prove the interest rates are too high if you want to sue your lenders.

TIP! Contact the credit card issuer with a request to lower your card’s limit. By doing this it will stabilize you in your financial boundaries instead of letting you extend beyond what you really should.

You can get better interest rates on credit cards and loans when you have a good credit score. This will help you afford your payments, and get out of debt quickly. Obtaining lower interest rates will make it easier for you to manage your credit, which in turn will improve your credit rating.

To improve your credit rating, set up an installment account. There is a minimum amount each month that you will have to pay, so be sure not to get in over your head. By successfully handling the installment account, you will help to improve your credit rating.

Before you agree to any sort of repayment plan to settle your debts, consider how this will affect your credit score. Some methods are less damaging than others; research them all before making an agreement with your creditor. Some creditors have no concern over how your credit score can be affected by entering into certain agreements. These people just want your money.

TIP! Make sure to check all three of your credit reports, and pay extra attention to the negative reports when you are working on repairing bad credit. Even if a charge held against you is legitimate, any problems with its details, like the date or the amount owed, could make the entire entry invalid and eligible for removal.

You can dispute inflated interest rates if you are being charged more than you should be. Creditors trying to charge more from you than what they originally loaned you plus a reasonable amount of interest are usually willing to negotiate. Although, in reality, you did agree in advance to pay any interest charges incurred. It is likely you can have exorbitant interest rates reduced if you sue the creditor.

Negative-but-correct information cannot be removed from your credit report, so be wary of promises from unscrupulous companies who promise to remove it from the credit reporting agencies. Sadly, harmful entries remain on your report for roughly seven years. It is possible to have erroneous information removed from your report, however.

Carefully check all charges on your monthly credit card statement for errors. If you spot any late fees, immediately contact your credit card company. This can save you from having late payments reported to the credit reporting agencies.

TIP! If you are able to successfully negotiate a payment schedule for a debt, it is important to request a copy of the agreement in writing. You need to have a contract in writing so if the creditor goes belly up or they change your terms, you can catch them on it.

Before consulting a counselor for credit improvement, do your research. The industry is rife with fraud and people with ulterior motives, so finding a legitimate credit counselor can be challenging. Many others are nothing more than scams. A wise consumer will find out if the credit counselors they deal with are legitimate or not.

Repairing a poor credit score can seem like a daunting task, but improving your score is possible with guidance and knowledge. With the tips above, you are better prepared to take action and get your credit situation back where it should be.

Do not file for bankruptcy. The fact that you filed for bankruptcy is noted in your credit report and will stay there for 10 years. You may think that bankruptcy is your only option to rid yourself from debt, however look at your long term financial goals before deciding to file for it. You may never get a line of credit for any purchases you might need to make if you go ahead, give up on repairing your credit and file for bankruptcy.

TIP! Your credit cards are not doing you any favors; avoid using them. Pay with cash whenever possible.

At first, you may feel like taking on the subject of Lee’s Summit Credit Repair is pretty difficult because of all the information out there. There is quite a bit to figure out, but you’ll find it easy to do if you keep learning. In order to realize your plans, use the information you’ve just read.

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Testimonials

Anita, I just wanted to thank you for the work you've done with me on improving my credit. I recently applied for a loan with my bank and was thrilled to find out that my TransUnion score came in at 739! That is almost a 140 point improvement from when I started in less than 1 year! Thanks again, these results far exceeded my expectations! Michael
 

Michael

Our Locations

Lees Summit

255 NW Blue Pkwy #200
Lee’s Summit, MO 64063 Phone: (816) 994-4600
Fax: 855-523-5900

Wichita

10300 W Central
Wichita, KS 67212
Phone: (800) 994-3070
Fax: (855) 523-5900

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