The Good, the Bad, and the Ugly of Repairing Credit
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If you haven’t managed your money well in the past, then even small things can have an impact on your credit score. And if you want to get credit in the future, for things like a mortgage or even a cell phone contract, then having a good credit score is a must. Improving your credit score can be straightforward to do, as there are plenty of tried and tested steps. However, it is important to remember that much like losing weight, there is no quick fix. You need to take your time and you’ll get there eventually. Perseverance will pay off.
What To Do Right Now
For starters, you need to know exactly what you are dealing with. You may have missed paying credit card payments a few times in the past, but don’t know how much of an impact it has actually had on your credit score. So checking your score is really important. You get a free check from many places online, like experian.co.uk, for example. So check your report, and also check the details in the report. Are there any errors? Sometimes there may be things listed that haven’t happened or that weren’t you. So make a note and rectify any errors if need be.
Something else that you can be doing right now is putting all of your bills and payments in one place. Make a note of what you owe, to who, and when the payments are due. To improve your score, you don’t want to be missing any other outstanding payments. So get on top of what you owe and when they’re due. Some banks offer text message or email reminders, so that can be a good service to opt into if you’re likely to forget.
One other thing that you can be doing right now, is sorting your budget, to make sure that you’re living within your means. You don’t want to be taking out more money necessarily, or using your credit cards if you really don’t have to. The only exception may be to get a personal loan to consolidate your debt. But check the fine print on somewhere like personalloan.co to calculate if it is going to be cheaper to consolidate or not. If it isn’t going to be more worthwhile for you, then it is probably going to be better to leave getting any more credit.
If you find that you are not going to be able to live within your means and pay off the debt that you’ve accumulated, then you need to not bury your head in the sand, so to speak. The more that you face it and deal with it, the easier it will be to clear it. Speak to your banks or creditors to let them know about the situation. Don’t just put payments off even more. If you need to seek assistance from a credit counseling service or similar, it will not hurt your scores. The best financial advice is to just keep swimming and seek professional help when needed.
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