You Can Raise Your Scores!

Okay, the odds of getting your scores into the 800s overnight are slim. But that does not mean that you cannot make significant progress really fast. Here are some awesome credit repair tips and tricks that can boost your scores by one hundred points or more. And fast.

New Accounts Count Double

This is one of the best, least publicized, credit repair tips there is. Have you had a period of bad credit? Are you financially stable again? Open two new credit cards, manage them right (more on that in a moment) and watch your scores take off. It will take 6 months of reporting for the new accounts to deliver the full score benefit. The FICO scoring model puts double weight on new accounts opened after a rough patch. Take advantage and watch your scores take off!

Getting Those New Accounts

If your credit is poor you may not qualify for the valuable new credit cards, mentioned above, that can propel your scores upward. No worry. Secured cards are the perfect credit repair solution. They are easy to get and you will not be denied. You will typically need 300 dollars to secure the accounts. The best secured cards will report to all three bureaus and will not reveal the secured status.

The Balance and Score See-Saw

This vital credit repair information applies to everyone who has a credit card, existing, new, regular, or secured. The latest version of the FICO scoring model, which went into wide use January of 2010, puts massive emphasis on the relationship between revolving balances and account limits. Let your balance run up and watch your scores fall. It is a see-saw. So keep your balances down and your score will stay up.

The One Shot Miracle Dispute

Do you have collections on your credit report? Do you see duplicates? Get ready to write some letters to the credit bureaus! A collector that has sold your collection account to a new collector has no business reporting his account on your credit report anymore. It is time for credit repair. Check reporting dates and dispute all but the most recent version. All of the defunct accounts will fall right off, and your scores will celebrate.

Steer Clear of These

There are several account types that FICO does not like. Or maybe it would be more accurate to say they have a special kind of bias against these debt types, and will give you less credit when you are good, and penalize you terribly when you are bad. These account types include store cards, and consumer debt like furniture and electronic store loans. These loan types can be convenient, and sometimes financially smart, so use them when they make sense, but consider the impact they may have on your credit repair. If you choose to use this type of consumer debt, plan to pay it off and close the account as soon as possible. Your credit scores will thank you!

Copyright © 2010 Ian Webber. All Content. All Rights Reserved.