Poor Credit Advice
The frustration of poor credit can bring down the even the strongest of people, not having a reliable line of credit to make essential purchases can also be very embarrassing. Thank goodness, poor credit can be fixed to achieve a valid line of credit. To obtain a valid line of credit for your purchases there are many options, but most importantly you need the personal will to say; my credit report will get better, and I will achieve my credit score that is desired. A good practice is to say it in your mind so that you are taking the conscious effort to turn your poor credit into a strong line of credit.
Now that you are aware that “my credit report” and “my credit score” can be repaired into strong credit; we will discuss the many options to repair your poor credit. You have many options from professionals who are capable of helping you with your poor credit; however, the advice below is free, and if used correctly it can turn your poor credit around. This advice helped me obtain my credit score on my credit report that enabled me to make many purchases. Below are five of the best recommended actions that I applied to my life to increase my credit score on my credit report.
1. History of Accounts on My Credit Report and Establish a Solid Line of Credit
The first thing that I did to increase my credit score on my credit report was establish a small line of credit. Even if you have poor credit, many companies are willing to loan you money or open a line of credit that can be used. Depending on your poor credit, only some options will apply but all line of credit options helped my credit score and it will with yours. Originally, when I opened my line of credit it was a secured card, this means that I had to put money down as a deposit before I could use the line of credit. Although this may not make sense at first it will help your poor credit, it helped my credit score on my credit report.
2. No New Line of Credit on my credit report
Once you have established some credit to your poor credit score do not open another line of credit. With my credit report, I learned that there is a balance between a line of credit and my credit score; if you attempt to open to another line of credit, it may look negative to lenders. When I was attempting to increase my credit score on my credit report I kept attemtping to open a new line of credit, not realizing that this was not only not helping my poor credit but it was making it worse. When I obtained my credit report, I was surprised that these showed as derogatory inquires on my credit report, in turn, my credit score was negatively affected and my poor credit was not increased.
3. Keeping a Low Balance on Existing Credit Cards and any line of credit.
After establishing a line of credit, keep the revolving rate or the amount on your line of credit at about 25%. For example if my credit score allowed me to have a line of credit for $100.00, I would not want to exceed a balance of $25.00. Therefore, when I see my credit report it will show that I am spending less than my line of credit which will in turn help the poor credit. My credit score on my credit report will show as a positive line of credit.
4. Pay your Bills on Time
Paying your bills late or missing payment will cause you to have poor credit. My credit score was negatively affected when did not send in a payment for a line of credit. I only realized how severe this was when I checked my credit report, which showed that I had poor credit.
5. Monitor Your line of Credit.
After hearing how identity theft can create poor credit I decided to monitor my credit score, I contacted an agency who could monitor my credit report to ensure that that the information on my credit report was accurate. If my credit report wasn’t monitored closely, I may have had identity theft without my knowledge adversely affecting my credit score. I was happy that my credit report was properly monitored; my credit score has since increased. With the increase of my credit score, I was able to obtain another line of credit; this line of credit will also be monitored by the same agency to ensure that the information is correct!