Credit Repair: How to Raise Your Credit Score

The word is out. Unless you are independently wealthylimitation for student loans. This means that they are
and can pay cash for everything, your credit score willcollectable forever. And the longer you ignore them the
determine the cost of every dollar you borrow, andworse it gets. Are you behind on your student loans?
consequently, the quality of your life. A nationallyDo something about it right now. But make sure you
recognized credit repair explains how to raise yourknow your rights! Call the Student Loan Ombudsman
credit score. It’s easier than you may think!Office at (800) 557-2575. They are there to help you
Get the Big Pictureunderstand your options. They will explain how you
Do you want to have fantastic credit scores? Wouldcan rehabilitate or consolidate your student loans. They
you like to be approved for the lowest cost financingwill also explain that you have the right to affordable
available when you purchase a home or anpayments and even deferment if you cannot afford
automobile? If so, you need to understand the factorsrepayment at this time. Pick up the phone. Include your
that have the greatest impact on your credit scoresstudent loans in your credit repair effort today!
— and how to control them. Credit repair canRemove Old Collections
make a dramatic difference in your life; just take oneAre there collections on your credit report? Too many
step at a time.people make the mistake of believing that if it is on
Open New Credit Card Accountstheir report it is correct. Credit repair requires a healthy
Credit scores take both the positive and the negativedose of skepticism. Don’t believe your eyes.
items on your report into consideration. Effective creditCollections change hands regularly. Did you know that
repair requires a balanced approach focused oncollectors who do not currently own the debt are not
cleaning up negative issues and building positive creditallowed to report it? There is a high probability that
simultaneously. If you don’t have any openolder collections should not be on your credit report.
accounts in good standing you should open a couple ofAnd if you see more than one collection for the same
new accounts as soon as possible. Secured cards aredebt, at least one of them should not be there.
an excellent option if you have had credit problems inChallenge those collections. Watch your scores take
the past.off.
Watch Your BalancesCall Mom - Last Chance for Authorized User
Credit cards are the most powerful credit repair toolAccounts
available. But they can be your downfall too. It’sWant a quick increase in your credit scores? Here is
all about your balances. High balances can ruin youran easy credit repair trick. Call mom, or dad, or anyone
credit scores, while low balances can propel youryou know that has excellent credit. Have them contact
scores to new heights. The FICO scoring modeltwo of their credit card issuers and add you as an
recognizes five different balance-to-limit ratios whichauthorized user. You don’t have to use the
measure the relationship between your balance andcard, and your donor can remove you at anytime.
your high credit limit. The ratios are 20, 40, 60, 80, andWithin two months the account will appear on your
100 percent. Pay your balance down to below 20% ofcredit report and your credit score will enjoy the
your high credit limit and watch your scores take off.benefit of your donors perfect account history for that
But let your balance run up to the max and you mayaccount. Just keep in mind that this is not a long term
see 100 points come off your score. Just remember,fix. The new FICO scoring model has eliminated this
the lower the balance the higher the score.loophole and the three credit bureaus will eventually
Avoid Store Cards — Sort Of…adopt the new model. But it’s still good credit
Everyone loves a discount. So when the salespersonrepair medicine!
offers a discount if you open a new store card youConfused? Hire a Professional
may be tempted. Sometimes it makes sense. But ifCredit repair can be confusing. But there is no need to
you plan to apply for a loan anytime soon you shouldstruggle along on your own. Pick up the phone and call
decline the offer. Store cards have a funny way ofa few credit repair services. Choose one that you are
sending your credit scores into a nose dive. This iscomfortable with and let them take over. A credit
because they usually involve a combination of anrepair professional will make sure that everything
inquiry, a brand new account, and a new balance equalpossible is being done to clean up your credit report
to the high credit limit. These three things combined areand optimize your credit scores. But don’t wait.
deadly. On the other hand, there is nothing wrong withThe sooner you start the sooner you will be able to
saving money! Just make sure that you don’texperience the benefits of your credit repair effort.
need your credit score to be at its best in the nextGood luck!
few months.Copyright © 2007 James W. Kemish. All Content. All
Clean Up Your Student LoansRights Reserved.
Unlike other forms of debt there is no statute of