How many times have you applied for a credit card only to be turned down? You try to order your own credit report, but every website asks for your credit card number. You reluctantly do it, and then it takes you 3 months to get that company to stop billing you. So what do you do?
I can tell you have to restore your own credit. It is simple and easy!
Order all of your credit reports for free at: www.annualcreditreport.com Make sure you use your previous address if you just moved and make sure you have forwarded your mail from that previous address otherwise you will not get your reports. It will take two to three weeks to get your credit reports. Some are faster than others.
Once you get your reports go thru each one and review it. Take a highlighter and highlight everything that is incorrect. Once you have completed this process, now you are ready to go to each site and dispute. It is very important that you have the credit reports before you go to these sites otherwise you will not be able to complete this step.
Go to each of these sites to dispute:
Experian: www.experian.com/reportaccess click on dispute. Enter everything it requests. Do not order a new report, use your number from your report you received in the mail.
Trans Union: www.transunion.com/investigate click on dispute. You should have already created a username and password when you ordered your report. Simply log in, and click on dispute.
Equifax: www.csccredit.com click on consumer assistance. Then click on dispute. First you must register, then wait a day and go back to complete the dispute process. Once you go back you must use your report to enter everything you need to dispute. This one will take the longest, but you can be very thorough.
Come back and let me know how this works for you or if you have any disputing questions. I was a credit consultant for eight years so I have an extensive amount of knowledge on this process. It doesn’t make sense to pay people for services you can complete for free on your own. BUT!!!! If you want to pay someone, let me know!
Once you have completed all of your disputes, I suggest you keep a journal or folder with all of your disputes in it. It will take 21-30 days for you to get the results via mail. Once you do they will say: deleted, updated or remains. Deleted means, they took it off your report. Updated means they changed something. Remains means no change. If you are not happy with these results go back and start the process over. If you are happy, now it is time to go to the final step.
Now if you still have items on your credit that are not correct, you must contact the companies directly. You can settle the debts or argue your point of why the company needs to update. Make sure you have your receipts or documentation ready to be sent directly to the company in question.
FACT: Credit card companies write off your charged off accounts as “bad debt” and they actually receive a “credit” from the IRS when they file their taxes. So, when you call to settle an account that is considered “new money” therefore they will be more willing to settle a debt after it has charged off rather than you being a current customer and trying to settle. I know it is sad that if you pay your bills on time you are not offered settlements, but it is because there is no incentive for new money! So a charge off is not always a bad thing. It is the collection accounts that hit your credit score so drastically. Once you make a settlement that you and the company (creditor) can agree to, make sure after you pay them, they fax and mail you a receipt for your payment. This is a must! Creditors will tell you whatever they can to get your money, then they will not be so cooperative so if you were going to get it you need to get it when you pay otherwise you may not get it! Once you do get the settlement letter immediately send it in to the credit bureaus. This will ensure your report will be updated quickly. Some companies only report quarterly not monthly so if you waited on them to update your account it may take three months. Be proactive!
This should give you an easy overview of how to restore your own credit. After you have gotten all the negative items off you need to add some positive credit. There are secured credit cards you can get through your local bank or you can get a certificate of deposit at your local bank and borrow against it to get a loan. Make payments on this loan every month on time for the next six months to a year and this will build your credit score up.
If this posting helped you please leave me a comment and let me know!