Seven Credit Repair Tips

Keep these credit repair tips in mind as you work toward a better credit score.

    Salvage what you can. Don’t sacrifice accounts that are in good standing for accounts that are not. Continue making timely payments on all your current accounts.

    Spread your disputes over a period of time. If you're disputing several items on your credit report, only put one dispute in each letter and space out your disputes. The credit could become suspicious of too many disputes and consider them frivolous.

    Be careful closing credit cards. Rarely does closing a credit card help your credit score. In fact, closing a credit card is more likely to hurt your credit score, especially when the account has a balance.

    Learn what things hurt your credit score. Learn what things have a negative effect on your credit score so you can avoid making these mistakes.

    Don't be discouraged by setbacks. Your credit score may drop unexpectedly as you go through credit repair. This doesn't necessarily mean you've done something wrong. Continue adding positive information to your credit report and your credit score will improve over time.

    Get consumer credit counseling. If your debts are overwhelming, creditors aren’t willing to work with you, and you can’t seem to come up with a payment plan on your own, consumer credit counseling is an option for getting back on track.

    If bankruptcy is inevitable, file sooner rather than later. If filing bankruptcy is the only way you can get back on track, don't waste time on strategies that won't work. Evaluate whether you should file bankruptcy early so you can start the process and begin to rebuild your life