Repairing Your Bad Credit History

Repairing your credit is a major step if you want to get a home loan or any other type of credit. Do not keep applying to loan companies thinking one of them will hold the golden key to giving you a loan because all you are doing is lowering your credit score. Every time a company checks your credit, you lose points off your score. Here are a few pointers to remember:

  • Repayment Plan: figure out your bills and how much money you have available for repaying and make yourself a budget and stick to it.
  • Prioritize: Figure out what debts you have that is more important. The mortgages and rent, judgments, etc are high priority.
  • Contacting creditors: write them a letter explaining your situation and how much you can pay every month. If at all possible, send a first payment with the letter. This will make them very happy you are attempting to work with them so they will probably work with you.

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