Angle Financial Blog
Get the latest news and info on Personal & Business Credit
Augmenting credit score after settlement - Can you really do so?
John Rowley - Sunday, January 04, 2015
Do you find that your credit score has dropped by certain points after you have settled debts? If yes, then you should take the necessary steps to improve your score soon. Though this is not possible in a day, you’ll be able to boost your credit score with time. Read on to know how this is possible.
• Get hold of your credit report - You will have to get your credit report if you are not eligible for the yearly credit report that you get free of cost. Make sure you obtain your report from all the three credit reporting bureaus such as Experian, Transunion and Equifax so that you can work on the wrong information that is there in the report. You need to find out all the creditors that have declared that you are 30 days late in paying your dues. Write a letter to each of your creditor stating the reason why you couldn’t make the payments on time. You can also request him for providing you a written forgiven statement in your credit report.
• Set up different lines of credit - You need to set up different credit lines beginning with a secured plastic money that will report to all the three bureaus. The secured credit cards are supported completely with your bucks. Now, if you require $500 line of credit, then you need to deposit the amount with the credit card issuer. Thus, this may reduce some financial risks of the creditors when you borrow money from them.
• Order your credit report two times in a year - Usually, you order your credit report once in a year. However, after you pay off your debts with settlement, you may order it two times in a year. Many creditors use fraudulent tactics and re-enter the balance on your credit report where it is zero balance. The creditors may also go back and report your payments as late even though they had given their consent to mark it as never late.
• Try to keep the outstanding balance low - After you set up several types of credit, you should keep the outstanding balance low on your new and old debt. You should know that your balance should range from 10 to 30 percent. Once the new lines of credit begins to report positive on your credit report, you should pay off all your creditors before the due date or on time.
So, if you find that your credit score has got hurt since you have not settled your outstanding dues, you need to know that you can still improve it. Thus, follow the above-discussed steps when you have decided to augment your credit score after debt settlement.
- Trackback Link
- Post has no trackbacks.
- Spring Auto Insurance
- Business Owners: Getting Bombarded?
- Why accept Credit Cards?
- Turning Your Spring Cleaning into a Yard Sale?
- Preparing your business for sale
- Insuring Your Resolutions: Remodeling Your Home in 2016
- Buying a New Vehicle in 2016? Tips for Shopping for a Safe Car
- Simply White is the 2016 Color of the Year. Huh?
- Tips for Driving Safely in Winter Weather
- 6 Smart Insurance New Year's Resolutions
Credit Repair Auto Insurance Business Consulting General Liability Insurance Business Broker personal credit business credit Insurance business funding Business Insurance Credit Card Processing Workers Comp Insurance Debt Settlement