Many people want to repair credit history problems. There are many free credit repair tips. Some of these tips on how to fix credit problems are very good. Some are not so good. As with any free tip, try to use multiple sources, rather than just one.
If you’re trying to repair credit history inaccuracies, the first place to start is with the credit bureaus. Until recently, credit bureaus charged consumers a small fee for copies of their credit reports. A recently enacted law has made it easier for consumers to obtain copies of their credit reports and work to repair credit history inaccuracies. Consumers are entitled to a free copy of their credit report each year. Credit bureaus don’t really provide free credit repair advice. They often tell consumers that only time can fix credit problems, but it doesn’t take as long as they say. If you are willing to do a little work, either on your own or with the help of a law firm that specializes in credit repair, then you can legally repair credit history problems.
In response to the FACT Act, the three major credit bureaus created a website where consumers can view and print copies of their credit reports. To try to fix credit history problems, you must first find out what information is in these credit reports. At http://www.annualcreditreport.com, you can learn what negative items may be causing you problems. You may already know this, since you’re looking for free credit repair advice, but you’ll still need copies of your credit reports, even if you choose to hire someone to help you.
Once you have your credit reports, review the negative information that appears. You can also review the positive information, but it will not improve your credit score if the positive items are removed. Most of the work needed to repair credit history problems involves removing inaccurate, outdated, or unverifiable information from your credit report. Unverifiable means that the credit bureau cannot verify the information. If you dispute any information on your credit report and the credit bureaus cannot verify it, then they must remove it. Some people who offer free credit repair advice suggest that you discuss each negative item on your credit report. Law firms that specialize in credit repair do not recommend that you question information that is accurate, but there are other techniques you can use.
The first step is to repair inaccuracies in your credit history. Check name, address, social security number, previous addresses, open accounts, closed accounts, etc. If you find any incorrect information, please report it immediately. The best free credit repair advice suggests writing a dispute letter to the credit bureau. Some of the credit bureaus allow consumers to dispute information online, but the sites are frustrating to use. Attempts to repair credit history inaccuracies can be frustrating anyway, so skip the added frustration of trying to use online dispute forms and writing a letter.
Many free credit repair tips revolve around letter writing. Actually, it is quite simple. Use a standard business style letter. Be sure to include your name, your spouse’s name, address, social security number, and any previous address within the last five years. Be sure to keep the letter unemotional, just state the facts. Include copies of any proof you may have that the information is inaccurate. Also include a copy of the credit report with the inaccurate information circled or highlighted. Much of the frustration associated with trying to repair credit history inaccuracies has to do with waiting. Credit bureaus have thirty days to investigate the dispute. Therefore, it may take weeks before you receive a corrected copy of your report. They are required to send you a corrected copy free of charge.
You can view a sample copy of a dispute letter on the official website of the Federal Trade Commission. The FTC also offers free credit repair counseling, but some of it can be off-putting. The worst advice is to do nothing. If you can’t do it yourself, get help. Attempts to repair credit history problems sometimes do not include attempts to establish good credit history. While working on removing negative credit information. Apply for a secured credit card, if you don’t have one. Most banks offer them. These cards are secured by a deposit in a savings account and your credit limit is based on the amount in the account. You may think these aren’t worth it, but lenders that offer secured credit cards report payment history to credit bureaus. If you use the card several times a month and pay off the balance each and every month, then you’re establishing “good” credit. This won’t fix credit history problems, but it’s a good free credit repair tip, because even after removing the negative items, you need some positive items to get the best credit score possible.