It is a common fact during the time of economic depression, most people particularly those that have lost their jobs suffer hard times resulting to non-payment of their credits and loans and as a result, sacrificed their credit score. Every person is not spared from this dilemma. This can be a hopeless situation but there is a solution: credit repair from reputable credit counseling companies. Legal credit repair can be the best solution if and only if the company is governed by the Credit Repair Organizations Act otherwise you might end up spending money and still be in bad debts.
On the other hand, if you are unwilling to spend extra money to repair your credit, you can have a do-it-yourself-credit-repair. In order to accomplish this you need to:
Obtain credit reports from three credit bureaus: TransUnion, Experian and Equifax. You can obtain free credit report from each of the three bureaus once every year. Information of your credit score may vary but you need to obtain these reports because a lender may obtain your credit information from any of these bureaus.
Highlight a particular line or detail from your credit report for any of the following:
Incorrect dates resulting to late payments posted on your account
Accounts that are not yet paid
Accounts that exceeds the credit limit
You can dispute incorrect information to the bureau by sending a copy of your report and a copy of your receipt/payment.
You should pay all accounts that are past due but not yet charged off. For accounts that exceeded the credit limit, make efforts to reduce it below the credit limit.
You can work with debt collection agencies to help with your unpaid accounts.
Having a bad credit can cause stress and at times, sleepless nights. It is a problem that we cannot just ignore until we find a solution for it. There are several companies that offer credit repair services. These may sound convincing especially for those that are desperate to repair their bad credit, but it should be well-considered and things should taken into place such as the credibility of the company and its strict adherence to government regulating agencies.