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Have you had a hard time keeping up with your expenses? Were you late on a few credit card payments? Or do you think you could benefit from a credit repair? Don’t worry, while it is always a good practice to keep your credit in good standing, there are always ways to raise your credit score and repair your credit rating. Here are few tips that will help you improve your credit rating.

Before taking any steps towards credit repair, you must understand what your credit scores are like and where you stand currently. Your credit score is generally made out of how well you use your credit and pay your credit cards and loans, the types of credit you have and for how long.

Getting on the Path of Credit Repair

Make sure that your credit score is properly calculated and that there have not been any errors that might have lowered your score.

Get a credit card, if you don’t already have one. A credit card will help you build your credit. If you are unable to get a regular one, look into getting a secure credit card (where the bank will issue you a credit with a limit equivalent to a deposit you make).

Pay existing credit card debt or bring it down as much as you can. Bringing the balance on your card to 30% would be a good starting point. Start by paying off the cards with the highest balance and work from there. As you decrease your balance, you can start to improve your credit.

Getting on the Path of Credit Repair

When using your credit card, use it moderately and try to keep the balance below 30% of your available limit.

Use older credit cards if you had better rating with, so that those accounts don’t close and lose their weight in the evaluation.

Dispute old and unjust collection charges with the credit bureau. The older the charge and the smaller the value is, the less likely it is to be verified by the agency.

Finally, do not ask for a lower credit limit or consolidate all your accounts into one account with a huge balance. 

Remember, credit rating is very important, so if you feel like you don’t have a good credit, look into credit repair options. It is never too early or late to do so. Once you’ve fixed your rating, make sure you follow those tips on what you need to maintain good credit.

About Denny Jones

Hi there! I am Denny, a personal finance blogger and I love to share tips related to managing finance for a better living. Follow my blog for lots of fresh and exciting tactics to control your finances.
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