How (And Why) Small Business Owners Can (Should) Fix Bad Credit

Ty Kiisel tackled small business and bad credit at Forbes.com 'Entreprenuers' blog:

http://www.forbes.com/sites/tykiisel/2013/10/16/small-business-bad-credit-and-fixing-it-in-a-single-bound/

Why It's Important to Know What's In Your Credit Report Before Shopping For New Car

Steer clear of wrong turns when buying a new car

This article is focused on knowing what's in your credit report BEFORE you go shopping for your next ride:
Buying a car is like an epic adventure. There are heroes (you), sidekicks (your wingmen who accompany you to the dealership), foes (the sales manager who just won't give up on the undercarriage rust-proofing) and even a prize at the end (your shiny new vehicle). And like any journey, buying a car can be fraught with perils and wrong turns.

Fortunately, a few simple steps can help ensure your car buying experience is a great adventure that doesn't turn into a detour to financial disaster. Here are some common wrong turns and how to avoid them:

1. Failing to check your credit before going to the dealership.

Unless you're paying cash - something many people cannot afford to do - you'll be financing your vehicle purchase. You need to know what's on your credit report and how strong your credit score is before you apply for financing. This will give you an idea of what loan terms you might qualify for. Websites like www.creditreport.com can help you understand your credit. A membership to CreditReport.com includes daily monitoring of your credit report to help you manage your credit, know your score, and catch potential fraud quickly.

2. Not having financing lined up before you shop.

Once you have a handle on your credit, it's important to explore your financing options before you ever set foot on a car lot. Yes, virtually every dealer can help you with financing, but there's no guarantee they will be able to offer you the best terms. You may be able to qualify for a lower interest rate through your bank. Having checked a couple financing options before you shop ensures you know exactly how much you can spend, and gives you more bargaining power at the dealership.

3. Not knowing what the actual price of the car should be.

There's the price the dealer puts on the car - the sticker price - and then there's the price you should actually pay. Most automotive experts agree, you should start your negotiations based on the invoice price, which is what the dealer paid for the vehicle, and pay only a few percentage points over that price. Fortunately, online resources like Edmunds.com and KBB.com can help provide an idea of what you can expect to pay for any vehicle you're thinking of purchasing.

4. Looking at the monthly payment, rather than the actual price.

When you're car shopping, it's easy to take the wrong turn and focus on how the monthly payment fits into your budget. But that doesn't give you an accurate picture of the true price of the car you're financing. You may think you're getting a good deal on the sale price, but if you're paying thousands in interest over the life of the loan, that deal may not be as good as you think. For example, if you finance a $25,000 vehicle with no money down and no trade at 7.5 percent interest over six years, you'll pay nearly $6,200 in interest, according to onlinecalculator.org. That means you haven't bought a $25,000 car, you've bought one that actually costs you more than $31,500.

5. Buying costly add-ons or features that you don't need.

Remember the sales manager who just won't take "no" for an answer when it comes to the rust-proofing? Add-ons - services or products that the dealership tries to sell you after you've chosen your vehicle - are a significant revenue stream for car sellers. Often, however, the items are ones you really don't need. For example, if you're buying a new car, do you really need the extended warranty plan? In most cases, the manufacturer's warranty should be sufficient. Be sure to read all the fine print on your sales contract before signing anything. If the dealer has included add-ons you don't want or need, ask to have them - and their costs - removed. If the dealer balks, threaten to walk; there are just too many car dealers out there to settle for less than the best deal possible.
(Article courtesy of ARAContent.com)
More free 'how-to' tips at FindHow2.com

How Long Can Negative Items Stay On Your Credit Report?

Updates from Answers.USA.Gov reports:

"Length of Time Negative Items Stay on a Credit Report"

It's important to know how credit reports work.
It still holds true: If the information in a credit report is accurate, the only way to have it removed is the passage of time. There is no way to avoid the fact that negative information can generally stay on your report for seven years. There are some exceptions, namely:

• Information about criminal convictions may be reported without any time limitation.
• Bankruptcy information may be reported for 10 years.
• Credit information reported in response to an application for a job with a salary of more than $75,000 has no time limit.
• Credit information reported because of an application for more than $150,000 worth of credit or life insurance has no time limit.
• Information about a lawsuit or an unpaid judgment against you can be reported for seven years or until the statute of limitations runs out, whichever is longer.

More information on how to fix your credit report can be found free at FindHow2.com .

Simple Ways To Rebuild Your Credit Rating, Restore Good Credit

It still sounds so simple: A company promises they can fix your credit score. For a fee.

Can credit repair companies really fix bad credit for a fee?

It depends. Credit repair companies promising to fix your bad credit often discovered to be operating as scams that hurt consumers.

Removing legitimate negative items from your credit is not possible, not matter what they tell you. The key word is "legitimate."

Yes, some key derogatory entries may get deleted from your credit report for awhile. But, sadly, legitimate bad debt and credit history boo-boo's will re-appear once an old debt gets sold to a new debt collector or your creditor updates credit reporting.

It's almost like flushing money down the drain.

It is important to be skeptical of "credit experts" who want to sell you their advice. Most of what they offer can be found for free on FindHow2.com and other free credit and debt relief informational websites.

Fixing a bad credit score requires discipline, patience, and action to follow-through and get better credit.

Live within your means. Watch your credit utilization, don't exceed 25% of credit usage. Pay all your bills before they are due. Stop buying with plastic. Pay off debt. Save money.

The one and only way you can establish a good credit rating is to practice good credit habits for a long time, and use credit wisely.

Credit repair companies may like to trick you into thinking that what they do is complicated. It's not. You can do everything they can do, and probably better, by yourself for free.

And, some firms practice shady tactics which might do more harm than good for your credit!

If you do find outdated or incorrect information on your credit report, follow the credit bureau's website instructions on how you can then dispute those derogatory remarks yourself. It can be done. But wishful thinking is what credit repair scammers sell: If negative information on your credit reports is indeed correct, it cannot be legally removed. Only good credit habits going forward, prompt payment of credit obligations, and the passage of time can help you then.

Find more ways you can restore good credit at FindHow2.com.

5 Simple Ways To Fix Bad Credit

5 simple ways to start rebuilding your credit rating yourself

Create and stick to a budget of your regular and every-so-often monthly expenses. Determine how much you will net each month, and plan how to spend it to reach your credit restoration goals. Some expenses that you can avoid should be deleted, or at least suspended, while you are in this credit recovery mode.

Pay all bills on time. Better yet: pay them early. Don't wait until the last minute to pay. It's a good idea to pay at least 3 days early, then check the firm's website to ensure your payment has been applied on time. Always keep copies of checks and online payments to dispute late payments.

Pay a little more on each credit card and installment loan you have. This will help you pay down your debts faster. At least pay what you've charged that month, plus a debt reduction amout (say, 5% of the total credit card balance due), and pay off all interest charged to your credit card that month.

Get a new credit card that has a low interest rate, if you qualify. Use it only to rebuild your credit score by making small charges every month, then paying off the total amount in full each month to demonstrate good credit habits. You may also need to use a secured credit card which is connected to your savings account. The value of this is that you will be able to start building a good credit history even if your credit is so bad that you cannot qualify for a regular, unsecured credit card account any longer.

If you are carrying a large balance on credit cards, consider selling a second car, property, jewelry, collectibles, items stacked away in the attic, to raise cash to pay-off your credit card debts in a big way. Once you've gotten that credit card balance paid down, don't resort to using it again and run up the balance. Stay in control of your spending.

By following these five simple tips, you can restore good credit and enjoy peach of mind when it comes to your monthly bills.

More info can be found at: FindHow2.com

What A Charge Off Means To Your Credit Report and Credit Score

Bad credit is no fun. When you check your credit report and find derogatory entries on your credit report listed as "charged off," you may wonder what this term means, and if you even have to repay these debts since the original creditor is no longer trying to collect from you.

Second question first: Yes, you still owe the debt.

First question: A charge off refers to a particular debt that a creditor has determined to be uncollectable, and has therefore written off the books. Generally this debt ultimately gets sold to a collection agency. They may buy the debt for pennies on the dollar and use every dirty trick in the book to shame you into paying up.

If a creditor hasn't received the payment you owe him after three months, the account is frequently charged off and sold. But sometimes the length of time taken before an account is charged off extends for much longer than three months, especially when it comes to medical debt.

And, as stated earlier, just because your credit report shows this debt as 'charged off' that fact does not relieve you of the legal responsibility to repay what you owe. Until the statue of limitations has run its course in the state you live in (sometimes in as little as five years), you will still be legally indebted to repay this debt.

This is why collection agencies are so quick to try and get you to confirm you owe the debt or get you to make even a token payment, as this reset the clock on your debt and the statute of limitations gets extended. You can learn more vital tips on how to fight collection agents trying to reage your debts.

Also, you may want to be aware of and avoid the 7 biggest lies told by collection agencies.

Status of Piggybacking For A Higher Credit Score

Piggybacking To Raise Your Credit Score -- Is It Still Legal?

We're updating this previous information we posted, about how the practice of "piggybacking" just might still be a way to improve a negative credit score:

FICO (Fair Isaac Corp.), which developed the widely-used FICO® credit scoring model, warned back in 2007 that it would end credit score piggybacking due to alleged abuses. The new scoring model labeled "FICO® 08" would put a stop to alleged abuses to the credit scoring system.

However, due to outcries from critics, the firm stepped back from the decision. Experts note that such a move would violate the Equal Credit Opportunity Act.

Some firms are still promoting and popularizing this method to boost a bad credit score.

"Piggybacking credit" refers to the practice of someone with a good credit score "renting out" their good score to someone else. Elsewhere, perhaps a parent or a spouse does the same thing to help a family member get better credit. Therefore, consumers who had no credit and people suffering from bad credit got a "credit boost" simply by being added to the accounts of credit cardholders who had legitimate good credit themselves. In effect they got to ride along 'piggyback' on the good credit account holder's account.

The website Boostmyscore.net details how this practice may still improve your credit score, though probably for a hefty price. (Note: we have NO affiliate relationship with this website; we merely link to it to give you an idea of the services available from them.)

More information on how an authorized user can get better credit is found in the forums here: http://www.fatwallet.com/forums

We're not certain it's worth the cost to piggyback onto someone else's credit, and it's definitely not ethical to do so if you're trying to hide poor credit from a lender, or worse, trying to scam the system in taking out a loan and destroying someone else's credit score in the process.

Bottomline, our opinion remains the same: Restoring good credit is a task you can do yourself, by yourself, without having to pay somebody else to do it for you.

How To Fix Your Credit Rating After Foreclosure

Foreclosure was indeed a frightening reality for millions of homeowners during the recent Great Recession. All these later, the aftermath is still being felt. Those who went through the gut-wrenching experience of foreclosure report that it takes quite a bit of time and effort on their part to correct their credit report after their foreclosure is completed.

It is common that banks are slow to investigate and correct charge offs in their credit report, and derogatory entries are allowed to keep appearing on credit reports -- until they are challenged.

You can improve your credit rating yourself. Write letters. Make the necessary phone calls. Don't quit. Track your credit repair progress. Remember to write down names and phone numbers and phone extensions of the customer service reps you speak with, and remember to never give up; you can fix bad credit.

Contact each of the 3 major credit bureaus in order, targeting the the single worst error on each credit report at a time.

You can find their address, phone number and website information here: http://www.findhow2.com/how-to-contact-credit-bureaus.html

Eventually, these homeowners report, credit history is corrected, and with the passage of time and better credit habits, their good credit is restored.

Their advice: watch your credit report closely after foreclosure. Never hesitate to dispute questionable negative entries that you believe to be incorrect. It seems that workers at these banks show little initiative to do their job with your best interest in mind, and remember, there is no incentive, nothing in it for them, to report correctly to your credit report. It's up to you to ensure that they do their job.

It won't cost you anything but some time, a little postage and aggravation to keep checking back with thse credit bureaus that you have successfully disputed with. Keep in mind that your old creditor might not yet have responded to your official dispute -- worse yet, since credit reporting is controlled by an automated reporting computerized system, the creditor might report it inaccurately all over again.

This is the importance of keeping all paperwork you have which states your old loan is in foreclosure. It's not a bad idea to give the credit bureaus a copy (never the original) with your dispute letter to buck up your claim and speed up the process of correcting your credit report.

More credit repair articles and e-books can be found at FindHow2.com.

Ways College Students Can Get Credit Back On Track

Fixing your credit is doable
If you find yourself with less-than-good credit, you are not alone. Business Insider, an online business news website, once reported that one in 50 households owes more than $20,000 in credit card debt. Coinciding with this alarming figure, the site further stated that more than 2 million Americans look to credit counselors each year to avoid bankruptcy.

Before your finances fall into the bankruptcy category, you can take steps to help turn your bad credit around. Just ask James Cheslek, dean of academic affairs at Brown Mackie College - Albuquerque. Cheslek is a retired corporate and trial law attorney who helps college students with bad credit get back on track.

"If you want to be successful, it is important to not let credit card debt get out of control," Cheslek says. "Many people get frustrated because their credit is not up to par. They don't realize how easy it is to fix. It may take some time, but it is doable."

Step one: Request a free copy of your credit report.
Every American is entitled to a free copy of their credit report under the Fair Credit Reporting Act (FCRA). Each of the three reporting agencies - Equifax, Experian, and TransUnion - is required to provide it once every 12 months, if you ask for it. To order your free copy, visit annualcreditreport.com, or call (877) 322-8228.

Step two: Read your credit report carefully for inaccuracies.
"Spend some time figuring out what all the symbols mean. Learn what's good and what's bad," Cheslek says. "Reporting companies get information from creditors. They simply take the information and add it to your report."

Step three: Dispute inaccuracies.
The FCRA further states that a reporting agency must correct any inaccuracies on your report. To dispute an item, notify the reporting agency of the inaccurate information. "They must investigate by forwarding your information to the company that provided the disputed item," says Cheslek. "When any information proves incorrect, the FCRA calls for all three reporting agencies to remove it from your credit report."

Step four: Request verification of debt.
The Fair Debt Collection Practices Act (FDCPA) gives consumers rights against debt collectors. "Here's the deal," Cheslek continues. "Debt collectors buy old debt for pennies on the dollar. They call and tell you they are collecting on behalf of another company. However, the company that originated the debt has written it off and retired the file."  

This may be the best kept secret in America. The FDCPA entitles you to write to the original company and ask for verification of the debt. They have 30 days to complete the process. Usually, they can't find the file or verify the amount," says Cheslek . "You may need to send follow-up letter to the credit reporting agencies to say, 'Take this off.'"

Step five: Once your credit is fixed, keep it fixed.
Cheslek offers the following rules of thumb to follow in the interest of keeping a good credit score:

* Pay bills on time. Late payments add fees to the balance owed.
* Change the payment due date if the current one is inconvenient.
* Pay more than the minimum due, even if just a little.
* Do not skip any payments. Skipped payments lead to bad credit.
* Do not close old accounts. Creditors look at how long you've had credit.
* Keep one account with no balance.
* Do not apply for loans you don't need. Every loan request shows on your credit report for two years; a denial becomes a negative mark.


EDITOR'S NOTE:

With 27 school locations in 15 states, the Brown Mackie College system of schools (www.brownmackie.edu) is dedicated to providing educational programs that prepare students for entry-level positions in a competitive, rapidly changing workplace. Brown Mackie College schools offer bachelor's degree, associate degree, certificate, and diploma programs in health sciences, business, information technology, legal studies and design technologies. See bmcprograms.info for program duration, tuition, fees, and other costs, median debt, federal salary data, alumni success and other important info.

Article courtesy of ARAContent.com

Credit Reports Can Be Disputed To Correct Credit History

Companies that consolidate information about your credit history are called Consumer Reporting Agencies (CRA's). The most common CRA is the credit bureau.
The information CRAs gather up about you and resell to creditors, employers, insurers, and other businesses is called a credit report. This report forms the basis of your credit score, which is so vital in providing lenders, employers and insurers a "financial snapshot" of your creditworthiness.
If you don't like the picture, then you must take action and learn how to correct credit report by writing and sending a credit report dispute letter to fix bad credit.
Once you are armed with the facts, you can begin the process of reviewing your credit reports and taking action to challenge inaccurate or outdated credit information contained in these credit reports.
Anyone can do this. Here is a free guide on how to do it yourself, correct your credit report and raise your credit score:
"How To Dispute Errors In Your Credit Report"

How To Make Yourself 'Identity Theft Proof'

Ways to fix your credit report BEFORE it gets damaged by identity theft:

The FBI has called it "The fastest growing crime in America." Close to 10 million Americans every year are victimized by it and the costs are estimated at 50 billion dollars annually. Many criminals get off easy while the victims spend years working to restore their damaged credit reports and reputations. Worse yet, there seems to be no end in sight. "The popularity of the crime is simply growing faster than the solutions to stop it" many experts conclude. The task of recovery is so time consuming and tedious, multiple states have resorted to creating "Identity Theft Passports" for victims in an attempt to ease the pain for them as they endure the lengthy and frustrating clean up process. Learn secrets of making yourself virtually identity theft proof in 60 minutes or less (for free).

Expert Author Terry Price shares the secrets in "How to Make Yourself Virtually Identity Theft Proof in 60 Minutes or Less"

U.S. Consumers Turn To Credit Cards Again to Cover Cash Crunch

Want proof that holiday season sales are not so much about the economy getting better, but, instead, about consumers opting for old ways to pay for their goodies?
Hey, who needs a good job or savings in the bank when you've got a shiny new credit card with a gib credit limit tempting you?
Bad credit habits are hard to break.

"Credit card use is on the rise"

Read it here at: http://money.cnn.com

Credit Crisis Far From Solved, More Bad News Coming

We've been amused to watch all the hoopla breathlessly streaming through the media mouthpieces this past week as they breathlessly report record holiday shopping sales. Here's a report from Brett Arends at MarketWatch.com you need to read and pass along to everyone you know before you and your friends get swept up in the "Happy News" ...

The U.S. consumer is still broke... The numbers are not heartening. Despite the lies you read and hear, telling you that American consumers “are repairing their balance sheets,” the truth is total household debts in this country have fallen by a mere 4.5% from the record peak at the height of the bubble a few years ago. They are still 20% higher than they were as recently as 2005, and twice what they were in 1999. According to the Federal Reserve, consumer credit levels are rising. And according to the Commerce Department, households are saving less than 4% of their disposable incomes — a fraction of the levels seen decades ago, and well down even from 6% or more seen in 2008-9.

Read his full article here and be warned for bad news on the horizon: 10 reasons the crisis isn’t over

Contacting Creditors Helps Speed Up Credit Repair Process

Svilen Andreev notes an important factor when you begin writing and mailing credit repair letters to fix your credit history:

Since credit reporting companies are the prime source of information for the lenders to judge your credit worthiness, it is important to send your credit repair dispute letters to these credit reporting companies/bureaus. However, this doesn’t mean that you should not send the dispute information to the erring creditors in question. In fact, it is a good practice to send all the dispute information and documents to the creditors as well… it might help speed up the process and the creditors cannot claim that they didn’t receive complete information on the dispute from credit bureaus.

Read his full credit repair letter article here:

http://www.smart-debt-solutions.com/credit-repair-letters-6-things-you-must-remember/

Are Your Credit Reports In Need Of A Good Cleaning?

Need to spruce up your credit rating with a review for your credit reports? Here are some free tips help you get started the right way right now!

Now is a great time to get your finances - including your credit - in order. So, if you've been neglecting your credit like those old dusty boxes of clothes you can't quite part with yet, use the spirit of spring cleaning to spruce up your finances.


Experian has developed four tips to help you spring clean your credit:



1. Know your report and your score

Despite what you may have heard, accessing your own credit report does not affect your credit scores. Reviewing a credit report results in what is called a "soft pull," or "soft inquiry," meaning it will only be seen on a personal credit report, not the ones lenders use. Everyone should check their reports at least annually. It's part of good credit management. You can get your credit report at http://www.experian.com/. Purchasing a scored report will help you identify the factors in your report that are most influencing your credit risk.



2. Pay your bills on time

Paying your bills on time is the single most important contributor to a good credit score. If a bill is not paid in a timely manner, the delinquent payment may be reported as late to a credit bureau. Delinquent payments and collections can have a major negative impact on credit scores. Even if the debt you owe is a small amount, it is crucial that you make payments on time. In addition, you should minimize outstanding debt, avoid overextending yourself and refrain from applying for credit needlessly.



3. Start paying off your credit card debt and leave the account open

Paying down debts and paying off credit cards is always good for your credit, but closing a credit account could have a negative impact on your credit scores, at least for a short time. Some people start with their smallest debt. They can pay it off fairly quickly, which gives them a sense of accomplishment. That payment amount can then be added to the payments for a larger debt so that it can be paid off more quickly. Others start with a large debt and get it out of the way. Getting a big weight off your shoulders can help knock out the remaining debts faster. If one debt has a higher finance charge, it is always smart to pay the most toward the balance of that account. That's because so much of your money is going toward fees and interest and is not lowering the amount of the debt. When it is paid off, all the money you were paying in interest can be applied to the balance of another account.



4. Use credit wisely

Once you've paid down your debts, continue to use your credit cards and pay the bills on time each month, and keep your balances low. Credit scoring systems not only look at individual credit card balances, they also consider something called your utilization rate (or balance to credit limit ratio). Your utilization rate is the total of the balances on all of your credit cards compared to the total of the credit limits on all of your credit cards. For example, if your credit card's limit is $10,000 and you owe $2,500 - your credit utilization rate is 25 percent. According to Experian, consumers on average are utilizing more of their available credit. At the end of 2009, the average utilization was 22.1 percent compared to the same time last year when average utilization was at 19.1 percent. Closing accounts reduces your available credit, which can increase your utilization ratio or balance-to-limit ratio - a sign of risk that can negatively impact credit scores.



While there is no quick fix for bad credit scores, there are straightforward steps we can all take to help clean up and improve our financial well-being. So when you're clearing out the clutter in your living room, don't forget to review your finances and see what else you can do to get organized for the spring season. For answers to other financial questions and more information about Experian, visit www.experian.com/crediteducation.


Article courtesy of ARAcontent

Recommended reading:

BestCredit: How to Win the Credit Game, 2nd Edition
Living Well with Bad Credit: Buy a House, Start a Business, and Even Take a VacationNo Matter How Low Your Credit Score
The Road to 850: Proven Strategies for Increasing Your Credit Score
How You Can Profit from Credit Cards: Using Credit to Improve Your Financial Life and Bottom Line

Are Student Loans Ruining Your Credit?

Late payments on your student loans are one easy way to ruin your credit score, and the problem will only get worse if you choose to ignore the problem!
Learn how deferment of your student loans might be the best option to get some breathing room on your education loans, catch up on past due payments, and try to start fresh with a new budget.
You'll also learn what the difference is between deferment vs. forbearance. Good info you might want to share with others you know who are struggling to pay off student loans.

Professional Credit Repair Can Help Credit Dispute... But For A Price

Are you interested in fixing your credit report, but afraid to do it yourself? You can do it. But if you'd rather pay someone else to do it for you, if you don't feel comfortable negotiating debt settlements or writing credit dispute letters, then hiring a reputable credit repair professional does make sense to get qualified, expert help to solve your credit problems.

No matter if your credit problems stem from your past poor credit habits or simple mistakes that the credit bureaus failed to correct, or even more serious issues like identity theft, turning to a professional credit repair attorney will give you immense peace of mind.

The secret is simple: you need to be selective, to shop around, ask lots of questions and hire the best you can afford.

It's said that professional legal credit repair law firms provide the best options for getting black marks erased from your credit report; however, be aware that oftentimes, getting entries removed from your credit report merely depend on the passage of time. Don't let anyone tell you that they can expunge entries for you that are accurate (they can't) and those who might advise you to open a new credit file, alleging "identity theft" (that's illegal).

Locate the best professional help you can afford using these helpful links. We are not affiliated in any financial arrangement with any of these links; we simply wish to provide you the reader with a selection of helpful websites to begin your search:

http://www.lawinfo.com/fuseaction/Client.lawarea/categoryid/1123
http://www.creditrestorationbureau.com/
http://www.creditrestorationbureau.com/
http://www.attorneycreditrepairguide.com/
http://ezinearticles.com/?Credit-Repair-Lawyers---Six-Reasons-For-Using-One&id=3545501
http://www.ftc.gov/opa/2010/02/facta.shtm

How Credit Debt Settlement Letters Can Help Settle Past Due Credit Account

Credit debt problems can generally be resolved with just a few simple steps all by yourself. There's no need to hire professional credit repair to restore good credit. You can fix your own credit rating, and in time, improve your FICO credit score.

Here's what you need to keep in mind when you are preparing a credit report dispute:

Credit debt settlement is one way to settle past due balances on your oldest credit account. There are distinct steps to write a settlement letter that will lay out your plan to pay off your debts in exchange for favorable treatment of your credit rating.

Credit dispute options include phone calls and emails and entries in website forms... but the best option, in my opinion, is still writing a letter to fix your credit.

Your credit reference will be tested when you apply for a new loan, buy new auto insurance, and even, more often than not, when you apply for a new job... so you must take steps to fix your credit. Request credit report from each of the Big Three credit reporting agencies: TransUnion, Experian and Equifax. Identify every page of the reports. Take action to get rid of key derogatories that are outdated or untrue. If necessary, add your 100-word explanation to tell your side of the story (i.e., you were late on credit card payments three months due to being unemployed during that period, etc.)

Credit report service availability is available at no-cost from the truly free www.annualcreditreport.com -- so there's no need to pay to check your credit. (It is true, however, that if you want to get your FICO credit score, you must pay a fee for this.)

A credit repair company can indeed offer you professional credit repair services for a fee. But watch out. If you are required to pay for the service upfront or if you are not notified that you can do this yourself, then you may be dealing with a firm that is skirting the law. Stay clear.

So as you can see, it's simple to solve your credit debt problems by yourself. For free tips on how you can fix your own credit rating, and eventually raise your FICO credit score, visit www.FindHow2.com/repair-credit.html. For free sample credit dispute letters and templates to tailor to your own credit relief program, visit http://www.credit-letters.com/.

Should Credit Reports Be Ordered At Same Time Or Spread Out Over 12 Months?

One good question found at the www.AnnualCreditReport.com website revolves around timing to pull all 3 credit scores:

Great question: I've always wanted to get a "snapshot" of my credit all at the same time to compare the different reports. There could be a blemish in one report which isn't showing up in the other two credit reports, and there's no way to know it until you've applied ... and gotten turned down ... for a new loan. Then it's a pain to tackle restoring that credit report. Wasted time.
My take: better to order all three major credit reports at the same time. Review the reports for accuracy. If you find errors or outdated entries, take steps to dispute the credit reports.
More free tips can be found at http://www.findhow2.com/repair-credit.html
Amazon.com has this unique title available:

Free Credit Report: Credit Reporting Agencies and Credit Repair

Q: Should I order all my credit reports at one time or space them out over 12 months?

A: You are entitled to receive one free credit report every 12 months from each of the nationwide consumer credit reporting companies through the Central Source. It is entirely your choice whether you order all three credit reports at the same time or order one now and others later. The advantage of ordering all three at the same time is that you can compare them. (However, you will not be eligible for another free credit report from the Central Source for 12 months.) On the other hand, the advantage of ordering one now and others later (for example, one credit report every four months) is that you can keep track of any changes or new information that may appear on your credit report. Remember, you are entitled to receive one free credit report through the Central Source every 12 months from each of the nationwide consumer credit reporting companies – Equifax, Experian and TransUnion – so if you order from only one company today you can still order from the other two companies at a later date.

Bad Credit Score Limits Job Prospects

With millions of people on unemployment in this country during this Great Recession, struggling to make ends meet, perhaps falling behind on loan payments and mortgage debts, this article from Philly.com shows how bad credit is keeping the unemployed out of work even longer:
Read full article here

It's a shame employers don't consider all the factors in this. But it's the business. YOUR business is to fix your credit history by getting your credit report cleaned up and working diligently to improve your credit score.

Start today by visiting and bookmarking these free web resources:

http://www.findhow2.com/

http://blog.pay-off-credit-cards.com/

http://www.findhow2.com/restoring-good-credit.html