Utilize The First And Foremost Steps For Credit Improvement
Your life can be difficult when you have bad credit. You are frequently denied the things that other people enjoy and sometimes it seems that no matter what you do you cannot get ahead of that dark cloud hanging over your head. If you have the time you can wait it out but if not there are steps you can take to improve or even repair your credit.
The FCRA or the Fair Credit Reporting Act is a federal law enacted by Congress in 1970. It allows consumers to know about and dispute any inaccuracies or inconsistencies on their reported credit. It also states that the consumer is entitled to a free copy of their own credit report from each of the big three credit bureaus, one time per year. A 2003 amendment dropped the fees on this report and now you are entitled to receive it for free of charge.
In order to start the steps to improve or repair your credit you ought to first get the copy of your report. Keep in mind that one report is free so make sure that you are not charged for the initial report you obtain. If you end up getting additional reports you will likely have to pay for them.
Once you have the report in your hand you need to carefully review it for inconsistencies and inaccuracies. It is estimated that as many as 75% of all credit reports contain information that is wrong or inaccurate. You can dispute incorrect information and if it is not verified within a certain time period it must be totally removed from your report.
You were given the right to dispute credit problems by the FCRA and you can take actions to improve and repair your credit. This is a process that you can complete yourself or you can hire a professional company to help you out. It is in no way necessary to hire a professional and you may find that you can effortlessly do it on your own. Nonetheless the process can be lengthy and trying and it may be easier for you to just hire a expert to help you out. It depends upon your life and how busy you are already. If your plate is already full you may find that the convenience of having somebody else do it so that it can be accomplished in a timely manner is well worth it.
Regardless of whether you do it on your own or solicit the help of a professional you need to know that it is illegal to get fair and honest reporting removed from your credit. If the bad credit is in fact all yours you may be better off just improving the credit you now have and working on your overall financial circumstances.
Before you start to repair your credit make certain that you do some research into what you are doing. There are some things that may come as a shock. For example many people are amazed that it may be better to leave an unpaid charge-off alone rather than try to pay it off. The explanation why is that negative credit stays on your report from the date of the last activity and if you pay off an old debt you start the clock at zero again and add another 7 years or more.
There are lots of different things you can do to improve your credit as well as repairing old and inaccurate reporting and doing things that will raise your credit score. The FCRA gave consumers the right to know and participate in what is reported on their credit report so take advantage of that fact if you have credit problems.
Attempt to figure out the sort of nonprofit credit counseling services that you need. Actually, credit card offers for no credit history and you are all set to get on with your life.