Once upon a time you had great credit and then....... Fill in the blanks. Something happened. Divorce, repossession, bankruptcy, medical bills, layoffs....you name it - bad things happen to good people and good credit all of the time. That doesn't mean you are helpless. Here at OnlineCreditMagic our job is to help arrange auto loans for people with problematic credit. But our job doesn't end there! We also want to be a resource for you to help improve your credit and answer your credit questions.
So, your credit has fallen and it can't get up? Here are a few tips to help you improve your credit rating.
1) Limit Inquiries: Limit credit inquiries to only those credit lines that are necessary. Don't apply for unnecessary credit or for credit that you know will not happen. Do you really need a credit card from "Bob's Discount Furniture"?
2) Pay Down Debt: Pay down your debt as quickly as you can with the highest interest bearing debt first. If possibly, consolidate your debt and close down inactive accounts.
3) Secured Credit Cards: Get a secured credit card (i.e. you make a deposit and they then extend you deposit around that amount) to re-establish your credit.
4) Pay Your Auto Loan: Auto loans count for alot of your credit score - recognize that fact and act on it!
5) Avoid Multiple Bankruptcies: One bankruptcy can usually be overcome easily. Multiple bankruptcies become much more difficult to manage.
6) Eliminate Mistaken Credit Reporting: Notify the credit bureaus of any mistakes on your credit and have them corrected. It may be time consuming but worth it in the end.
7) Subscribe to a Credit Watch Service: There are a number of vendors who offer credit watch services that let you know when there has been a change to your credit rating or someone has made an inquiry. You can catch potential credit fraud earlier and possibly deal with collection issues upfront.
Lets get that credit back up and walking around!