Federal Law States That Everyone Gets A Free Credit Report Annually

Category: Finance, Credit.

While many people believe that getting their bad credit repaired can only be done through a professional agency, this is simply not true.

Before you get in touch with a professional credit repair service, refer to the steps listed below, and you might find that repairing your own credit is not that difficult at all. By going to a credit agency, you might find that it takes a great deal more time and money than if you just worked on it yourself. When you repair your own credit, you must understand that it is a lengthy process that requires patience. Federal Law states that everyone gets a free credit report annually. The first thing you need to do is contact credit reporting agencies in writing, and request a copy of your credit report. You can locate the three main credit- reporting agencies that you will need to get in touch with by performing an Internet search using the terms Credit Reporting Agencies. Contact the agency in writing, and include the following information in your request: Request a free copy of your credit report.

You might also consult your local phone directory. A copy of your state identification( such as your drivers license) Copy of proof of your current address( such as a utilities bill showing your home address) Provide your previous addresses for the past 5 years. Make sure you close the request with your signature. A copy of your social security card. Your credit report should take approximately 4- 6 weeks to be generated and sent to you. If you have already received your free annual credit report permitted the free yearly report, you can use a denial letter of credit within 60 days of its receipt.

If you receive a letter denying you credit, make a copy and enclose it with your written request for a copy of your credit report. When you receive your reports from the agencies you contacted, look over each report for accuracy and discrepancies. If you find invalid accounts or errors in your reports, do not hesitate to file disputes. Create a log in order to track the differences. If you need to file a dispute, most agencies provide the forms to do so via their website. Keep a log of all your debt information and creditors.

Each credit report should provide contact and account information for each creditor. Most debts older than 7 years old probably will not appear on the report, leave them alone, and if so. Whatever the case, do not open the Pandoras box if the account is not listed on your credit report. Most creditors after 7 years will write off the debt, though some might continue to pursue you. The next step is to contact each creditor to make payment arrangements. If a creditor is being difficult, feel free to ask for his or her supervisor or speak with someone else. Most of them will be willing to work with you, while some might not be so agreeable.

Expect some creditors to be rude and unwilling to work with you. Offer a settlement amount. Try no to feel discouraged, and ask to, be persistent speak with someone else. Keep a written log of the conversation, including the persons contact information each time you speak with a creditor. It is very important that while you are paying off your debts that you pay by check or money order and retain all receipts. It can take as many as 6 months to feel like you are making headway on your credit repair, but rest assured that your credit will get better within a year or two. Make sure that you request a receipt for the payment from the agency.

Do not create new debts while paying off your current ones. Continue to obtain copies of your credit reports annually from each agency. If you receive credit offers, throw them away. Remain focused on your goal to get out of debt and document your payments, contact with the creditors, extension, their names, time and date you spoke with them and list any pertinent detail regarding your conversations.