| Improve Credit Score - I suffered a major financial | | | | cards and car loans. |
| setback when I discovered how low my credit score. | | | | The second part of payment history info is made up |
| This affected me in many ways, most importantly I | | | | of public records, including bankruptcies and lawsuits |
| could not get the loan I wanted for a new house. I've | | | | such as foreclosures. |
| now worked out how to improve my score - I want to | | | | All these areas also include details such any missed or |
| now share this info with you. | | | | late payments, such as the amount and how long ago |
| Firstly, you need to get the three credit reports from | | | | it occurred, then how late it was. These are also very |
| the 3 major credit report bureaus. The three Credit | | | | important. Late payment can actually knock 50 to 100 |
| Report Bureaus are: Experian (formally TRW), then | | | | points off your score so Don't ever miss a payment. |
| Equifax, and TransUnion. | | | | Here is another secret that not many people know |
| You need to get three reports as the information will | | | | about: |
| vary form all of them, that's the bad news, the good | | | | Try checking your credit report and see what day of |
| news is that you can get a free copy of each, this is | | | | the month your creditors send updates on payments |
| allowed by the American Government. But be warned, | | | | to the credit bureaus. |
| don't get sold into getting the other services they offer | | | | It's interesting to note that they're not often on the |
| as you may not need them. | | | | same cycle as your actual payment due date. The |
| When you have your reports look at the info and | | | | situation where the following occurs: you can pay off |
| workout out what you need to fix. Before you go | | | | your card every month and your credit report will |
| about improving your credit score you need to make | | | | show you carrying a balance. To get around this you |
| sure all the info is correct. There is a good chance that | | | | need to pay your amount before this date. |
| there is a mistake on your report. If not on the financial | | | | If you fear you cannot make the amount for the |
| info there will be mistakes on your personal data. Ring | | | | month, contact the lender and negotiate a solution. Get |
| the bureaus and correct the information. | | | | a direct debt facility with your bank so the loan amount |
| The next step is to understand how your score is | | | | is debited automatically each month. |
| calculated. Here is a list of the following ingredients: | | | | Remember that most bad credit will stay on your |
| - Payment History 35% | | | | record for at least seven years the good news is that |
| - Amount Owed 30% | | | | nobody looks at the history that predates a credit |
| - Length of Credit History 15% | | | | disaster. |
| - New Credit 10% | | | | Be sure to forget about emails and websites promising |
| - Types of Credit Used 10% | | | | to restore credit scores overnight. You can't they will |
| As you can see above, the number one way to | | | | trick you into making an dispute on your bad info - the |
| improve your score | | | | bureau then has to take this info off you report until |
| Payment History accounts for a massive 35% of your | | | | the investigation is over. Once over it will return straight |
| score. This figure takes into account the many | | | | back on, just like a boomerang! |
| different types of payments, including mortgages and | | | | Take my advice above and do it the right way. |
| major credit cards, even department store credit | | | | |