How To Repair Credit

It's important to get your credit score up to prime rate, which is 620. But how do you do this is always the question.

I am sure you have seen ton's of advertisements making bold statements such as they will erase your bad credit and you can start fresh.

Beware of these companies, there is no way that you can erase accurate information. Only time, a conscious effort, and a personal debt repayment plan will improve your credit report. You can do this all on your own.

First you will want to get a hold of your credit report, by purchasing it online, or you can get one for free report. You are entitled to a free report when you are denied from an application for credit, insurance or employment. You can request your free credit report within 60 days of receiving a notice of the action, on this report you will see the name, address, and phone number of the consumer reporting company.

Another way to get a free report is if you are on welfare or if you are unemployed and plan to look for another job within 60 days. Every year you are entitled to a free report from each of the agency, Equifax, TransUnion, and experian, but you must request it.

Once you have your credit report you will want to go over each negative mark on there and begin sending the reporting agency, such as experian, equifax, or TransUnion and request that they remove the negative remark from your credit report. You will want to include copies (NOT originals) of documents that support your position. Also include your complete name and address, your letter should clearly identify each item in your report you dispute, state the facts and explain why you dispute the information, and request that it be removed or corrected. It's also important to a copy of your report with the items in question circled. You will want to send your letter by certified mail, "return receipt requested," this will ensure that you they received the documents. Be sure that you hold on the copies that you sent, such as the dispute letters.

The reporting companies have to investigate the items that you are questioning, they must do this within 30 days. After the 30 days they will notify you of the findings, which they will either find that the item is accurate or it is inaccurate. If it is inaccurate they will notify all three nationwide consumer reporting companies and correct the information in your file.

You will then receive your report for free with the updated changes. If the item was changed or removed it consumer reporting company cannot put the disputed information back into your file unless the information provider verifies that it is accurate and complete.

If there is accurate information on your report that is negative, the only thing that can remove this is time. There is a good possibility that it will be there for 7 to 10 years from the last time that they accessed your credit file.

Unfortunately for criminal convictions there is no time limit on reporting, this is also true for the information that is reported in response to your application for a job that pays over $75,000, or if you applied for credit or life insurance over $150,000.