Question : How can I succesfully repair my own credit ?
Do credit repair companies work? I want to build or buy a house for my family .This is no joke , I have seven kids . So it's very important that I get a good P.M.I. and a good interest rate or I'll never be able to afford it. I make about 60k a year , but one of kids had to have 5 brain surgeries right after she was born and this ruined my wife and my credit . Any suggestions would be appreciated. Please , serious stuff only.
- asked by John G
All Answers:
Answer #1
pay off all your Bil's
- answered by ydonikno
Answer #2
Get a card and pay the high interest. When theysee you paying interest your score will slowlyimprove. Then you get better interest rates. Startwith a sears card if you have to.
- answered by agropelter
Answer #3
Be very leary of the so called repair companies. They say they are non profit, but they make acommission off of every dollar you send yourcreditors, they have deals with them. Also alotof those places are just offering chapter 13 in afancy way. Of course, in your situation, that maynot be a bad idea. Do you have any CD's or IRA'sthat you can cash in and pay the stuff off maybe?
- answered by silverblack12345
Answer #4
It all comes down to paying your bills on time.After doing this for a while, it will improve
- answered by Warren C
Answer #5
Get a new copy of your credit report fromExperian(1-800-509-8495), and find out what youhave to dispute. Then obtain a dispute form fromthe government, file the disputes. Then see whathappens.
- answered by rockEsquirrel
Answer #6
I'm sorry to hear about your circumstances. Youcould consult with a financial planner, they maybe able to set up a budget for you. They may beable to find you a consolidation loan with a lowinterest rate, you could also check with banks forthat too. If you want to do this on your own, Iwould suggest making sure that you're never latewith a bill payment. Live as modestly as you can. Shop at second hand stores, coupons etc. Onlyhave one vehicle if you can etc. Start with oneof your debts and pay it off. Just keep goinguntil they are all finished.
- answered by todieisgain_121
Answer #7
Repair companies do nothing you can't doyouraself. First order all 3 bureausindividually. A merged report will give you oldand inaccurate information. First disputeinaccurracies on each bureau and if they cannot becorrected then. Go to the BBB website, find thehead office and person and write them a letteradvising them they are violating the FCRA (FairCredit Reporting Act) and will be subject topenalties if the corrections arn't made. It hasworked for me in the past and you are not wastingyour money on an agency that can only do half thework you could do. All it takes is a little timeand persistance and it will pay off.
- answered by mrssainsarg
Answer #8
I am a loan originator and deal with people whohave bad credit on a daily basis. I would suggestgetting a copy of your credit report. Then makingsure that there are no duplicates or closedaccounts affecting your score. If there are youcan call those places that have been dawdling intaking them off your credit report. Pay things ontime and try to get rid of as much revolving debtas possible. If your credit is bad now you mayneed to wait a couple months until you can correctall of the above problems and bring your creditscore up to where it should be. I hope I helpedto answer your question if you have any moreconcerning your credit scores feel free to contactme through my yahoo email. P.S. A credit repaircompany can raise your scores but you most likelywon't see the results until the process is over,they can really affect your score negatively whilethe repair process is taking place. Just putyourself in the lenders position. Would you lendmoney to someone going through a "credit repair"? I suggest trying to do it on your own first.
- answered by Nutrodamus
Answer #9
Get your score from FICO. Then dispute any reportsthat are more than 3 years old or are not accuratewith each credit b. MYFICO .com would allow you tosend a dispute on line.After you dispute anyincorrect data you need to start paying the creditcard with the lowest balance. After you payoffthat credit card, use the money you were sendingto the card you just paid off and add it on top ofthe minimum payment amount to pay for the nextcard. Keep doing the same until you pay off allcards.Paying the one with the highest interestrates might take you too long.For example: youhave 3 cards.Card 1 balance is $200 minimumpayment is $10Card 2 balance is $500 minimumpayment is $50Card 3 balance is $ 1000 Minimumpayment is $125Pay off card #1. Use the $10 andnow pay $60 for card #2.Pay off card #2. Use the$60 and now pay $215 for card #3.Do not close thecards. Closing accounts counts against your creditscore.Make sure you are NEVER late on any of thepayments, Some of the credit cards companies takea "promise to pay" over the phone or on line .This promise most of the time prevents them fromsending your account to collections.You can callthe credit cards companies and negociate theinterest rate. Tell them that you are thinking ofclosing the account due to the high interest rate.Most of the time they will lower it. I got themfrom 22% to 3.99% applied to the exiting balanceand 16% for new charges.NEVER, NEVER be late foryou mortgage or car payment. The late payment willstay on our record for up to 7 years.You can dothis yourself. Go to Dave Ramsey's website tolearn how to be debt free ....
- answered by hmc121667
Answer #10
First, you can do everything yourself now. go to astore like office max or office depot, and get apackage for credit repair. everything U need is init. get all your 3 credit reports for free now.then go to work. comb thru a 3 reports and startclean it up. the best website I have found an usedis www.clarkhoward.com
- answered by Ingrid
Answer #11
You do not need a credit score of any kind to buya house. Find a mortgage company that does "manualunderwriting". This is where a PERSON looks atyour situation, not a computer. Church HillMortgage does this. You must have paid yourcurrent mort. or rent on time or early for twoyears to qualify.Before buying a house, you shouldbe debt-free, have 3-6 months of expenses savedup, and your mort. should be no more than 25% ofyour monthly take home pay. In your case ($60,000)your mort., insurance, and taxes should be lessthan $1250 / mo. if 60k is your TAKE HOME.If yourmonthly bills (incl. new mort.) is $4000.00/mo,then you need to have $12,000 to $24,000 as anemergency fund saved up before buying a house. Ifyou were debt-free, you could save this up in18-24 months. You also need to put down 20% on a15 year fixed mort. The reason that you need toclean up all of this stuff before buying a houseis that if you move into a house with no moneysaved up, and a mailbox full of bills, you are onelayoff of medical crisis away from forclosure.Thisis the optimal goal. How much of it you achievebefore buying a house is up to you, but it is howyou should approach the question.
- answered by normobrian
Answer #12
Credit repair companies do NOT work. Generally,the bureaus know when credit repair companies aredoing your work for you. It is illegal for acompany to charge you to fix your credit.I've readall the above answers but one thing is missing.The answer to your question. Go to the book storeand purchase "Guaranteed Credit" by Arnold S.Goldstein. This book will tell you all you need toknow about fixing your credit. It costs about $20..
- answered by David H
Answer #13
I agree with the previous comment about paying offall your debt before getting into a home loan.There is no stress like an emergency happening andforeclosure coming up on you.
- answered by jason r
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measure and fulfill your financial needs
