How to Improve Your Credit Score With Effective Credit Report Repair

Improving your credit score is important for obtaining future lines of credit with lenders. There are many different ways to repair your credit report so that you can have the credit score you deserve. Staying on top of your credit is important, and it can be done easily with a little dedication. It only takes a little bit of time, and you can do it without the help of a credit repair company.

Instructions

1

Request a current copy of your credit report. You can obtain a free copy of your credit report by going to Annualcreditreport.com and requesting one (see Resources). There are three different credit reporting agencies--Experian, Equifax and TransUnion--and while they may all have slightly different information, the report will give you a good indication of where your credit stands.

2

Analyze your credit report to ensure there aren't any errors. Sometimes you may have errors on your credit report through no fault of your own, and these can bring down your credit score. Errors can be corrected by sending a dispute to the credit reporting agency in writing, as well as online at their website. Be sure to include any documentation to substantiate your claim.

3

Take a look at your budget. Some people are quite surprised when they sit down and create a budget for themselves to see where their money is actually going. Once you see how much money goes to your bills and what you have leftover, you may find ways to pay off higher interest payments to save yourself money in the future.

4

Work with collection agencies, if any, to make payment plans. If you have any debts that may have gone to collections, work with the agencies to pay off the debt completely. Look at your budget to find out how much you will be able to pay, and talk to them about your plan. If you are willing to work out something to pay off the debt, the agencies may be more willing to negotiate the balance.

5

Pay all of your debts on time. As simple as it may sound, this can help improve your credit score and your ability to work with lenders in the future. Even paying all of your debts on time for a few months in a row can improve your score as much as 20 points, which can mean the difference between approval and denial from a potential lender.