How to Fix Credit Rating – If You Are Wondering How to Fix Credit Rating, Read These 3 Golden Rules

Is your debt overwhelming? Do you fear applying for car or auto loans? Is the number of collection calls increasing? Do you avoid opening the late payment notification in your mail? Are you wondering how to fix credit rating? If this is the case, don’t get discouraged or depresses. Relax and take a deep breath. In the middle of an economic crisis many Americans share the same credit problems as you do. And some of them have already found that fixing bad credit is not as hard as it seems. Following 3 simple do-it-yourself rules can save you from a lot of financial stress and can boost your credit in no time.

1. Don’t pay for credit help if you can get the job done yourself. Many of the credit counselling places will charge you an arm and a leg to give you credit advice tailored to your specific credit situation. What you are actually paying for is knowledge about the inner workings of the credit system-how your credit score is calculated, which negative items on your credit report should get more attention etc. If you have the knowledge about the mechanics of the credit system, then you will be better equipped to deal with it and increase your credit score. However, you don’t have to pay a fortune for that. You can get that same valuable credit knowledge at little or no cost when you do the right research.

2. Don’t do everything the hard way. Find the easy way out. If you pay off all your debts in full, you will raise your credit score. What happens if you don’t have that extra money in your pocket? You can still find a solution for your debt. For example,if you can’t pay the balance on your credit card in full, do a balance transfer. Balances that are kept around the healthy 30% of the card limit affect you score positively. Simply do a balance transfer from the cards with high balances to the cards with low balances. If you want to add length to your credit history, add a co-authorized user on your credit cards – a person with credit history that is longer and better than yours.

3. Negotiate first before you make any payments. Negotiation is vital for a successful credit repair. If you do it the right way, you can manage to reduce a portion of your debt, change the installment plan, delete collections, late payments and charge-offs from your credit report.

So if you are wondering how to fix bad credit, stop right now-fixing bad credit is not hard at all. Save you cash, use the little known credit secrets and improve you score in no time.