3 Ways To Take Back Control Of Your Credit Rating
Credit has never been more important now than any time in history. With that said maintaining a healthy line of credit is critical especially with Covid 19 gripping the world as it has over the last few months.
Although this time economically is extremely challenging with a couple of simple checks, you can begin to improve your line of credit drastically.
In fact in this article we are going to empower you with 3 ways to take back control of your credit rating.
#1 Check For Mistakes on Your Credit File
Checking for mistakes is by far this is truly the easiest and best ways to take back control of your credit rating. By simply reviewing your credit report for mistakes you increase your chance for a credit increase dramatically.
This should only be done by going to the government official site for free at annual credit report.com.
There you can see if there is a mistake on the address or the wrong payment information which can all lead to your credit score being affected. If there is any elements that are wrong it is imperative that you report them immediately.
Conveniently you are able to pull all 3 reports from annualcreditreport.com allowing you to report the errors to all three of the governing bureaus for credit reports. This one step will ensure all information is correct and prevent any negative impact on your credit score.
#2 Pay All Your Bills On Time
This one seems self explanatory and so simple that everyone should do it. However they don’t and this was before Covid 19 took place.
I know times are challenging now but you can prevent a negative impact on your credit score by paying back all bills on time. Whether you are making a direct payment to a car note, credit card or mortgage payment be sure to pay on time by the due date.
In the case of a mortgage payment you can use flexibility and go pass the grace period. However to have your credit report and score not be impacted be sure to pay your mortgage before the end of the month.
By consistently making all payments on time you will strengthen your credit score and show potential lenders you are smart with money and dependable. This will go a long way in developing relationships, and strengthen the chances of being accepted for loans in the future.
If you are already struggling with poor credit, than setting a goal to pay at least one of your creditors on time will serve as a stepping point on the path on taking back control of your credit rating.
#3 Avoid and or Pay All Judgments
Judgments are catastrophic to your credit rating, and if you are facing a judgment decision then this will drastically impact your credit score. Judgments remain on your credit reports for 7 years generally but in some states it can go as far as 10 years and at the worst onset indefinitely.
For that reason the general mode of action is to make payment arrangements and if you have the money pay the judgment outright.
Be sure to get every agreement in writing and any payoff with some written form of satisfaction. I cannot stress enough the importance of taking care of judgements. They have a tendency of showing up even if they appear at one moment of time to fallen off one or all of your 3 credit reports.
If you are looking to take back control of your credit rating then paying any and all judgments is paramount.