3 Ways to Improve Your Credit Score by 50 Points In Less Than 30 Days

Published by admin on January 22, 2008

“What can you do to increase that set of three numbers on your credit report that can be so important with your financing?”

I came across this question as I was surfing discussion groups the other day. Check out my answer:

Dear Friend,

Here are 3 steps I used to take my credit score from 592 (horrible credit) to 762 (perfect credit) almost overnight.
If you’re interested in improving your credit rating quickly, you’ll find this story helpful:

In 1995 I made a decision that would ruin my perfect credit history. I quit my salary job to become an insurance salesman.
The job paid commission only. Within a few months I lost everything - house, car, credit rating and my self respect.

By the end of 1996 I was living with my mom, all my credit accounts were severely past due, and I was paying 22%
interest on a broke-down green Geo Storm…I was a real loser.

Then, in 1997, I became a banker. I didn’t know it at the time, but this would turn out to be the break I needed to eliminate my
credit problems forever.

During my seven years as a banker, I came across several legal and highly effective ways to improve my credit rating.
As a result, I was able to increase my credit scores by an average of 170 points.

Here’s what I did:

Step #1:
After spending hundreds of dollars on credit repair services that didn’t work, I found out how to get negative accounts removed
on my own.

Basically, I wrote letters to the collection agencies requesting proof that the accounts were mine. 89% of the time they had
no proof that the bad accounts belonged to me. So I was able to get them deleted from my credit file.

Step #2:
I opened new accounts with high credit limits and kept the balances low.

I discovered that if you keep your available credit limits high and only use 10% to 30% of the credit you have available, your
credit score will improve dramatically.

Step #3:
Next, I added accounts with years of perfect payment history to my credit file. This step took my credit score from 647 to 762.

While you can certainly add seasoned accounts to your credit file for free, there are companies that claim they can do it for
a fee.

The problem is, they charge between $2,000 and $2,500 per account. If you want a 700+ credit score you’ll need 3 to 4 of
these accounts. That equates to a cost of $6,000 to $10,000.

(You can conduct a search on your favorite search engine for companies that offer this service.)

While there are several highly effective steps you can take to increase your credit scores by as much as 200 points, these
are the main ones…And here’s the good news: Each step can be completed in less than 30 days.

By Hartley W. Pinn, Jr, CEO, http://www.AtBalanceCreditRepair.com. Revealing the insider credit secrets you can use to increase your credit scores by up to 200 Points. For more information please visit: http://www.AtBalanceCreditRepair.com/credit/8

Bankruptcy vs. Credit Counseling: What Should I Do?

Published by admin on January 22, 2008

Credit Counseling and bankruptcy are both ways to relieve the stress of debt. However, they are very different and it is important to understand both before making a decision as to which is best for you.

Credit counseling is a program designed to help those who are in a state of debt and cannot find a solution to their debt problems. They offer services that will allow you to work with a certified credit counselor to devise a plan that is tailored to your specific needs and goals. Credit counseling agencies often provide services for free and will help to educate you about how to avoid financial problems in the future by offering debt management classes or seminars. They do not erase your debt. Instead they work with you to budget money so that you can pay off the debt often times by debt consolidation. Collection will continue while using a credit counselor, however, in most cases companies who are owed money will try and work with you to help you payoff your loans. Credit counseling services often help you to reestablish credit after the loans are paid.

Bankruptcy is very different. It will completely clear your debt in most cases and you will no longer be hassled by collection agencies and their attorneys. There are two kinds of bankruptcy; the one that is right for you will depend on your situation. When filing Chapter 13 bankruptcy you are able to keep property that is mortgaged such as your house or car and are expected to repay debts in three to five years. Under Chapter 7 bankruptcy, you must give up all property and assets that you own. There are exceptions in some states for items such as work tools and household furnishings. Bankruptcy will certainly clear your debts and stop foreclosures and wage garnishments, however, you will be unable to establish credit for up to ten years. Filing bankruptcy can also be very expensive compared to credit counseling.

Take time and research credit counseling very carefully before deciding on bankruptcy as it can save your credit in the long run. Most people feel much better about themselves when they can pay off their debt and become educated about how to stay out of debt rather than filing bankruptcy.

Timothy Gorman is a successful Webmaster and publisher of Debt-Relief-Solutions.com. He provides more debt relief, consolidation and credit counseling information that you can research in your pajamas on his website.