Anyone who knows me, knows I am making some new changes in my life. Im working in making me a better person. A better person than I was last years, last month, last night.... A better person than I was 5 minutes ago. Trust in me when I say, "change is hard." But I want it that bad, that I am willing to learn what I need to do to become that better person.
Starting with my finances. In January 2009, I had a credit score of 658. Not great but not awful. Today I have a score of 622 (now that is bad). Not only was I suprised but it hurt me becuase i still thought I making some positive steps and here I was actually going backwards. SMH.
First, We have to become Do-ers. (people that puts their plan into action)
1. Pull your credit report from the 3 major credit reporting agencies.
Equafax, Transunion, and Experian.
- I know you are asking how do you do that? ITS FREE!!! www.annualcreditreport.com.
(you have to know what it is on it to repair it.) Things we dont have knowledge of are the same things that keep us in bondage and have a strong hold on us.
2. Look for any negative accounts and challenge them.
- 2A. What is challenge them?
Either you are going to pay them or ask for them to be removed. For example, If you owe $700 on an old Visa card that has been charged off you can challenge it and they will either give you a lower amount due, or depending how long it has been on your account they may just charge it off. you should request for them to respond to you in writing and they should tell you if the account was deleted, or if the balance was changed. If they dont erase somethng you feel should be erased challenge it again, and they have 30 days to respond to you in writing.
- 2B- You are to challenge the charges with the 3 major credit reporting agencies not with visa. After you have received a response from the agency contact the buisness you have the account with and request in writing statement from them stating the account was either deleted or paid as agreed.
- 2C- How do you challenge it? Right at the website for FREE!!!!
3. How to Increase your credit score?
First know, yor credit score is generated by a machine. You are not able to explain to them, "well what happened was I lost my job and was unable to make the payment"
PAY YOUR BILLS ON TIME.
Open a line of secure credit. Well, how do I do that? It is as simple as, taking your money and going down to the bank and opening a line of secure credit. "I want to take this $500 and I want to open a line of credit here with my own money and the bank will give your a credit card with yout money on it and a $500 limit of YOUR OWN MONEY.
Now you spend your money just as you would if you had the cash in your pocket. But this is the trick, HAVE YOUR AMOUNT OWED DOWN TO ZERO BY THE END OF THE BILLING CYCLE, NOT BY THE DUE DATE BUT THE END OF THE BILLING CYCLE. Continue to do this for a number of months. (you are now showing you can handle your bills on time. BUT Then miss a payment (omg...yep miss a payment) remember this is a machine calculating everything. And now spend your $500 up. At the end of that billing cycle get your balance back down to zero AND NOW YOUR SCORE WILL GO THRU THE ROOF!!!!!
Try this and let me know what you come up with.
Rakeya
Ms Keep Fshion Alive
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