Fix Credit Rating – Save your Credit From These Common Major Mistake
To fix credit rating there are some minor movements that seem like a good idea and a logical thing to do that end up dropping your credit score and leave you puzzled as to what happened. The three points below are common occurrences, I know, it happened to me when I started to work on finding a fix to my credit rating.
To fix credit rating you’ll have to dispute some of the items you find on the report. Its common to have easy fixes. For example, having the creditor report your account in the best way possible for your score is one way to fix the credit rating. Many times they simple report an account as paid. Instead of paid as agreed. Paid as agreed, gives you slightly higher points, about 4 to 6 more points. Multiply this by a few accounts and were talking about 15 to 18 points.
If you’re looking to fix credit rating for something specific, for example buy a home or a car. Don’t make the common mistake of closing any accounts. Closing accounts is one of the single most damaging moves you can do to your credit. At times we figure “well, if I don’t have that debt. It’ll look better when I shop around.” Wrong. Closing accounts cuts your total available credit and credit history.
Here’s an example. Let’s say you got your first credit card at 18 and you were the most exemplary borrower ever and you are now 28 with the same credit card. Ten years of payments on time would have earned you a higher credit limit, lets assume 10,000. Now let’s say that you got an awesome offer from some bank that said you can transfer your current 1,000 balance at your current credit company, to them and have zero interest for 2 years. The new company is going to issue you a new card with a 2,000 dollar limit to start. Sounds good and it is, if you do it and leave the original credit card open. If you transfer and close your account with your first creditor you will have lost ten years of
