Have you ever been in a position where you have had to ask, “How can I fix my bad credit?” You know how powerless the situation can make you feel and it doesn’t help if you have to search for the top rated credit repair companies even to get started with a service! Desperate people often turn to so-called online repair companies/firms to fix bad credit. These services can be quite expensive and—in many cases—completely unnecessary. The good news is that there are several steps you can take to fix bad credit without paying a single dime to professionals. In the following article, we will detail some of these steps. Hopefully, we can provide an answer to the question, “Can I fix my FICO score on my own.”
An applicant’s creditworthiness or unworthiness is determined by their financial history. Three top online reporting and management agencies keep track of an individual’s spending history and determine their score.
• TransUnion
• Experian
• Equifax
You do business with creditors often. Lenders include home and auto lenders and credit card companies and even utility companies. These firms report to one or more of these online agencies. Especially when you fall behind on a particular payment (late payments), or default on a loan among others. Most of these three reporting agencies hold your credit in the palms of their hands. You must monitor these reports and stay abreast of your FICO score. In some instances, inaccurate information can be reported to one or more agencies, damaging your credit. Below are some steps to stay on top of your finances and fix bad issues where they exist.
Step One: —Order Multiple Copies Of Your Credit Reports
Copies of your official reports can be ordered anytime by mail through all three of the major agencies. This includes Experian, TransUnion, and Equifax—for a small fee. This is especially true if you have recently been denied credit due to what you believe is an inaccuracy. Even better, detailed credit reports from each of the bureaus can also be ordered once a year. You can do this for free by visiting the website AnnualCreditReport.com. To stay abreast of your credit, experts suggest you stagger the ordering of these three reports so there’s never a gap where you don’t know what’s happening with your credit history.
In other words, you may order your Experian credit report for free in January. It would be best to wait until about April or May to request your free copy from TransUnion. Wait until about August or September before ordering your free copy from Equifax. This way you will have an ongoing credit record, enabling you to catch inaccuracies when they occur and recreate that process every year.
Step Two: Review Credit Reports Carefully
Start by applying for a free score report with one or more credit bureaus. This can often be done for free once a year at the official US government site for credit reports. you will need to review and audit the form you receive. Remember, this is an important “fix bad credit” step and you should ensure that everything on that report is correct, including:
• Personal Information. Ensure all the names, addresses, birth dates, and social security numbers on your financial documents are correct and up-to-date.
• Accounts. If you notice an unfamiliar account in which creditor data is shown on a report. Ensure that you are the owner of that account—the one who opened it.
Note: Some accounts may go by different names, mainly if they are referred to a collection agency before ending up on your credit report.
Step Three: Report/Dispute Inaccuracies
After reviewing the detailed reports of your credit, you will then check them against your payment records. The next step to fix bad credit is to report inaccuracies and start the official dispute process. With this system, you can expect to see some corrections or even the removal of negative items. Lodging a legal dispute with one or more of the three online agencies can be a long process. You can also contact a law firm to do this on your behalf. The agency or bureau will double-check the posted information with the creditor who reported it. The agency will come up with a decision based on that research on whether the item will remain on your report or be removed.
Step Four: Settle Up on Delinquent Accounts To Completely Fix Your Credit Score
Of course, not all negative items on your credit card report will be inaccurate; some are genuine. In these instances, paying off what you owe on these accounts can be a great way to fix a bad financial history. Good things will start happening once these items have been paid in full. Many creditors have been known to delete the negative items. This can improve your score and creditor report. We recommend becoming familiar with your report and monitoring your scores and history online. Disputing inaccuracies and paying up on delinquent accounts is a great way to improve your standing with creditors. The best part is it won’t cost you a dime. Many law firms do this work as well but they can be expensive.
Remember, you can do anything a law firm or credit repair agency can do. Don’t forget that other options are available if you don’t have the time or resources to do the work explained above. Check out our directory of the top online credit repair companies in the USA. A 3rd party service can be excellent if you don’t want to do the work yourself!
