How to Repair Very Weak Credit

Poor financial decisions can take its toll on your credit score. Unfortunately, many people do not realize the financial toll that bad credit can take until they are trying to make a large or significant purchase. However, over time, with careful money management, you can repair your credit.

Instructions

1

Contact Equifax, TransUnion, and Experian for a copy of your credit report. You are allowed one free copy of your credit report per year. Also, be sure that you order all three reports and examine them carefully. Most of the time, your credit report will have at least one mistake. According to Bankrate, almost every consumer has an error on one of their credit reports.

2

Contact the credit bureaus to correct any disputes. Be sure to document any changes that should be made.

3

Reduce your debt to boost your credit. Budget your money and be sure that you consistently pay your bills on time. Bankrate recommends you reduce your debt to around 50 percent of the credit you have available.

4

Build good credit. Find a secure credit card with a low limit and begin using it. Use the card and pay the bill on time to show that you can responsibly use credit. This will begin to build a stable, good credit history. You can show stability by opening a savings account.