Some people are spending hours on the phone every day, speaking to creditors and lawyers and even more lenders, all in an attempt to break free of those bad credit chains that bind us up and keep us from enjoying life. Bad credit can weigh on your shoulders until it’s taken care of, so let’s take the steps to repair that score once and for all.
The first step to repairing your ailing credit is to create a manageable, feasible financial plan. If you want to change then you have to work hard and stick with it. Be sure to buy only the things that you need. See if each purchase is necessary and affordable and only purchase something if the answers are “yes”.
Limit applications for new credit. Every new application you submit will generate a “hard” inquiry on your credit report. These not only slightly lower your credit score, but also cause lenders to perceive you as a credit risk because you might be trying to open multiple accounts at once. Instead, make informal inquiries about rates and only submit formal applications once you have a short list. Continue reading