| Is your credit far from perfect? Are you having | | | | discipline and paying your debt off. In reality paying your |
| troubles getting approved for a mortgage or auto | | | | debt in full will not necessarily raise your score. For |
| loan? Do you want to get rid of debt and start with a | | | | example, paying off an old collection might actually hurt |
| "clean credit slate"? In the current economic crisis more | | | | your credit score. The reason is that the account is |
| and more Americans are facing the same bad credit | | | | now updated to "current". The negative item (although |
| problems. Contrary to the general myth, fixing credit | | | | paid) will have bigger impact on your credit score and |
| doesn't have to be that hard. You can clean credit | | | | will stay on your record as an adverse account for |
| history in a short period of time if you arm yourself | | | | another 7 years. In this case-paying your debt in full |
| with credit knowledge and a healthy dose of | | | | doesn't really help. Instead of trying to pay debt in full, |
| perseverance. | | | | concentrate on negotiation with collection agencies. In |
| Here are 3 simple tips that will help you understand | | | | reality debt collectors still make a pretty handsome |
| how fast credit repair works: | | | | profit even if you pay them 25 % or less of the |
| 1. Time is not always the solution. | | | | amount owed. Your ultimate goal is to pay as little as |
| A lot of credit experts think that time is the only | | | | possible and still convince debt collectors to remove |
| solution for serious credit problems. Bankruptcies stay | | | | the item from your credit report. In other words-don't |
| on your record for 10 years. Negative items like | | | | go for the "hard" way, when you can do it the "smart" |
| collections, tax liens, judgments, late payments, past | | | | way. |
| due payments etc usually fall off your record after 7 | | | | 3. Always aim for complete deletion. |
| years. Credit inquiries appear on your report for a | | | | Deletion of negative items is the ultimate goal of fast |
| period of 2 years. You can pay off collections, liens, | | | | credit repair. A paid off negative item might not benefit |
| judgments etc, but they still stay on your credit report( | | | | your score. A deleted negative item, on the other hand, |
| albeit now paid) and affect your score negatively. The | | | | will boost your score immediately. In order to delete an |
| only thing you can do, according to the mainstream | | | | item from your report, you have to master the art of |
| credit advisers, is pay the negative items off and wait | | | | "dispute" and " negotiation" with credit bureaus and |
| until they fall off from your record completely. Contrary | | | | collection agencies. |
| to that myth, there are so many things you can do in | | | | There are many ways to clean credit history. |
| order to remove a negative item from your report. | | | | Knowledge about the inner workings of the system |
| The only requirement is not time, but credit knowledge | | | | and the various loopholes in it, however, seems like the |
| and thinking outside the credit box. | | | | shortest route. Once you start thinking outside the box, |
| 2. Pay more or pay less. | | | | you'll be surprised to find how easy credit repair |
| The traditional way of credit repair preaches financial | | | | actually is. |