There are two ways to repair credit.

 

Which way is best for you? To do it yourself, you will need time, solid knowledge of federal consumer laws, and advanced communication skills. In some cases, a better option will be to let someone with expert knowledge help you with the credit repair process. Companies like Lexington Law help to secure the best results in a shorter period of time. Either way you need to start by understanding your Credit Score.

 

What factors affect your credit score?

• Previous credit performance (payment history) 35%.

• Current level of indebtedness (amount owed) 30%.

• Time credit has been in use (length of credit) 15%.

• Pursuit of new credit (applications) 10%.

• Types of credit experience (credit mix) 10%.

 

What doesn’t work:

• Closing your credit accounts.

• Paying off your debts.

• Doing nothing.

 

What does work:

• Paying your bills on time.

• Keeping your balances low on unsecured revolving debt like credit cards.

• Only applying for credit that you need.

• Making sure the information in your credit report is correct.

• Removing unfair or inaccurate negative items from your credit report has the biggest impact on your credit score.