currently my credit score 575. My old credit cards paid off , they were 30-60 days late in payment, i%26#039;ve collection debt of 700$. If i%26#039;d pay 700$ collection debt all in once would this improve my credit Score and imrprove better look of my credit Report ? If i%26#039;ll dispute the collection debt on-line at the experian(but not yet directly w/the agency) would this reopen new date of the collection ? i heard when debt passes 7 yr period it goes away from the credit report ? In my situation how to imrove credit score ? Currently i don%26#039;t have any credit cards or loans.
Raising credit score, imroving credit report and some debt..?
here are some great tips. :) and no disputes will not reopen these accounts. yes 7 years from last date will be removed.
1. Pay your bills on time.
This is the best way to improve your score, and it%26#039;s never too late to start. Even if you%26#039;ve had serious delinquencies in the past, those will count less over time if you keep paying your bills on time.
2. Keep credit card balances low.
High outstanding debt can pull down your score. Don閳ユ獩 go maxing out your credit cards all the time.
3. Check your credit report for accuracy.
It閳ユ獨 possible that there may be inaccurate information on your credit report that can be easily cleared up (see How To Fix Credit Report Inaccuracies). If this proves to be the case, then you should contact one of the three credit reporting agencies閳ユ摮ransUnion, Experian or Equifax.
4. Pay off debt rather than moving it around.
Consolidating your credit card debt onto one card or spreading it over multiple cards will not improve your score in the long run. The most effective way to improve your score is by simply paying down the amount you owe.
5. Keep your credit cards - but manage them responsibly.
In general, having credit cards and installment loans that you pay on time will raise your score. Someone who has no credit cards tends to have a lower score than someone who has managed credit cards responsibly.
6. Don%26#039;t open multiple accounts too quickly, especially if you have a short credit history.
Opening too many accounts in too short of a time period can look risky because you are taking on a lot of possible debt. New accounts will also lower the average age of your existing accounts, something that your FICO score also considers.
7. Don%26#039;t open new credit card accounts you don%26#039;t need.
This approach could backfire and actually lower your score.
8. Don%26#039;t close an account to remove it from your record.
It閳ユ獨 a myth that closing an account removes it from your credit report. This is untrue閳ユ攨ven closed accounts remain on your report, possibly for an indefinite period of time and may still be factored into the score. In fact, closing accounts can sometimes hurt your score unless you also pay down your debt at the same time.
9. Shop for a loan within a short, focused period of time.
FICO scores distinguish between a search for a single loan and a search for many new credit lines, based in part on the length of time over which recent requests for credit occur. If you shop for a number of loans over too long a time period, it can count against you.
10. Contact your creditors or see a legitimate credit counselor if you%26#039;re having financial difficulties.
This won%26#039;t improve your score immediately, but the sooner you begin managing your credit well and making timely payments, the sooner your score will get better.
Raising credit score, imroving credit report and some debt..?
Pay off the collection amount. Start paying all of your bills on time. Unfortunately, it does take years for your credit score to improve.
Raising credit score, imroving credit report and some debt..?
Now this ofcourse is not easy raising your credit score takes time once it falls. That is one of the main reasons that i who had a 740 credit rating cancelled all my credit cards and ****. Cos if ur moving to a house or buying a car watever crap that credit rating shows up. Thanx to ur ss of course. So even if u put in a 100000 over a period of 2 mths its still gonna be shitty. Its a gradual process and takes time.
Raising credit score, imroving credit report and some debt..?
It will not reopen the collection debt, the date stays the same and in 7 years it will be removed. But if your interested in paying it sometimes you can let them know and they will accept a lower amount considering they done figured they were getting nothing.
Raising credit score, imroving credit report and some debt..?
I would talk to someone that does credit restoration. I have a company that I send my clients through, but there are lots out there.
You should remember that you always have the ability to fix the score...by yourself, get a new card, use it, and PAY IT OFF every month, keep it up to date
Raising credit score, imroving credit report and some debt..?
I have to make decisions everyday on whether to approve or deny people that apply for credit. If I had to give advice to people that
are trying to start out building credit, this is the advice that I would give:
1. Open a checking account- While opening the account doesn%26#039;t directly build your credit, it does create a relationship between you
and the bank by being an accountholder. Banks love to cater to their preferred customers that have accounts in great standing by
offering loans and credit cards. Also, having a checking account not only helps manage your money, but it gives you the most
powerful tool in building credit, a checking account to help pay your bills on time. Most banks and credit unions offer online banking
with billpay that can make it easy for you to pay your bills on time, which is important in building credit.
2. Open a secured credit card- Secured credit cards are the easiest credit cards to get, mainly becuase a security deposit is placed
upfront in order to establish a line of credit in the same amount. For example, if you deposit $250, your credit limit is $250, and so on.
The deposit isn%26#039;t used to pay for any of the purchsases on the card unless, it was charged off and sent to collections, so you would
have to repay it just like a regular card either in full or minimum monthly payments. The deposit is sometimes linked to a savings
account, so it earns interest while you%26#039;re building credit, so the deposit isn%26#039;t sitting there. You can think of this as building credit with
a savings account. The more you deposit, the higher your limit, which is good for your score because it creates a cushion between
the total debt you owe and the credit you have available. Also, by continuing to add to the deposit, you%26#039;re also creating an
emergency fund at the same time. A good way of using the card is by making small purchases ($20/month max) and paying on time
every month while adding to the deposit. Usually after a year or so, the card either converts or upgrades to a regular card, and most
importantly, the deposit is given back, which you can place in a savings account as an emergency fund.
3. Enroll with PRBC- PRBC is America%26#039;s Alternative Credit Bureau, providing a helpful service to the over 50 million people with
limited or no credit history. If you pay your monthly bills on time, PRBC can help you build credit to qualify for a mortgage and better
interest rates.On-time payments for the following bills are not reported to the traditional credit bureaus:
Rent
Cable
Phone
Daycare
Insurance
Electric
Natural Gas
Cell Phone
The only time your payments for these bills are reported to the other credit bureaus is if they%26#039;re missing or late.With PRBC, your on-
time payments count. You build credit for paying your bills on time, even if you have no credit history. PRBC has teamed up with Fair
Issac, the creators of the FICO score to introduce the FICO expansion score which helps people build credit. Here%26#039;s a link that explains
more in detail:
http://www.fairisaac.com/fic/en/product-...
In closing, just a few more things to keep in mind.
-Don%26#039;t spend more than 30% of your combined available credit on all your cards.
-Only apply for credit when necessary.
-Dont close unused accounts.
-Pay on time
Hope this helps...
Thanks for reading and...
Good luck!
1 day ago
Source(s):
credit analyst/underwriter
Link(s) to secured credit cards:
https://www.citicards.com/cards/wv/cardD...
http://www.bankofamerica.com/creditcards...
https://www.wellsfargo.com/credit_cards/...
http://www.usbank.com/cgi_w/cfm/creditca...
http://www.usbank.com/cgi_w/cfm/credit/k...
https://www.hsbcapply.com/start/orchardb...
http://www.ultravx.com/
Link to PRBC:
http://prbc.com/consumers/default.php
http://en.wikipedia.org/wiki/Prbc
Link to FICO Expansion Score:
http://www.fairisaac.com/fic/en/product-...
No comments:
Post a Comment