The world of credit repair is filled with promises of fast fixes. Some of them are an exaggeration at best and criminal at the worst. There are a few ways to fix your credit score immediately, but nothing remedies poor debt management. Practice good borrowing habits now, however, and your score will rise eventually.
Fixing Your Credit in Hours
Quick credit scores fixes are not entirely a fantasy. Rapid re-scoring can clean up a credit report within 72 hours, but only if you have mistakes. If you can prove a negative item on your report is false, such as a collections account that belongs to someone else, a rapid re-scoring company can verify it and update your report far faster than the 90-day turnaround on most credit report dispute cases.
Other Quick Fixes
Paying down as much credit card debt as possible reduces your credit utilization ratio -- the proportion of your credit used compared to the amount available -- immediately. Adding a new type of loan boosts your credit mix. If you have a mortgage, for instance, you should have a credit card and retail card. These "fixes" won't show up immediately. The credit rating agencies can update their reports whenever they please, but they usually only do so quarterly.
Watch Out for Scams
No credit counselor or repair company should guarantee to remove negative items from your report -- legitimate negative items stay for 7 to 10 years. Fraudulent credit repair companies may claim to have a in with the credit bureaus or a foolproof tactic to convince creditors you do not owe a certain debt. Also, some ask for money up front, which is illegal as of 2011. An honest credit repair company will meet with you face-to-face and offer some type of financial education.
Tip
Do not ask creditors to lower your credit card limit. Actually, you should inquire about an increase to reduce your credit utilization ratio as long as it does not involve a credit check. Only apply for a loan when you need to improve your mix of credit. Adding a loan to try to increase your number of "good" accounts only adds the risk of a missed payment.
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