Get Exceptional Outcomes With Credit Repair
Low credit scores are fairly common at this time and the recession in the economy has just made it worse. You can have a great credit score and miss just one payment and your score can drop as much as 100 points or more. One concern is that most people do not have any idea about how credit scores are measured, how they can drop and how to increase them.
One will discover a combination of different things that make up your credit score. It is important to make your payments on time of course, but there are also other crucial considerations. One big determination is how much credit you have accessible compared to how much credit you have used. If your lines of credit or credit cards are maxed out at the limit, you are thought to be a bad risk.
When you are reviewing your credit keep in mind that the best credit scores go to the people who use only 30% or less of their available credit limits. You can increase your limits or pay down your balance to get below 30% but of course the best thing would be to never go above the 30% mark in the first place. Having accessible credit but not using it is a determination of a good credit risk.
Longer-term credit is looked at more positively than shorter-term credit so if you have older credit cards use them more frequently than the newer ones. Of course, all of the same rules apply, make your payments promptly and never exceed more than 30% on the balance. Paying it off every month rather than carrying a balance will always be best.
It’s critical you know that you have the legal right to dispute any negative information found on your credit rating. The Fair Credit Reporting Act was enacted to defend consumers from erroneous information on their credit. When you file a dispute the bureaus and the creditors must prove the accuracy of the information within a short period of time. If they cannot or do not prove the validity within the allotted time period then the information must be removed from the credit report.
The creditors and the bureaus have 30 to 45 days from receipt of your dispute to verify the accuracy of their reporting. However, the advantage you have, as a consumer is that it is estimated that as many as 40% or all disputes are never verified. That means that up to 40% of all disputed information is removed from the reports. You can use that fact to your advantage.
As you start disputing the negative information on your reports make sure that you keep exact and complete records. Send all correspondence via certified mail and make sure you have accurate dates. Also make sure you send a separate letter for each dispute.
It may take determination and consistency to repair your credit report but you can do it. It is your legal right to be able to know and control the information on your credit report and you need to use it to your benefit.
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