Clean Bad Credit, Do It On Your Own.

It is easy to clean bad credit. In this article I will show you how.

If you have bad credit you may very well be turned down for that mortgage, auto loan, credit card or other credit you are thinking or trying to obtain. By planning ahead you can clean bad credit and not only get that credit you are seeking. But you will save money through lower interest and payments.

* Late payments are detrimental to your credit. Payment history will do the most damage to your credit. It is very important for you to make payments on time to clean bad credit.

* Secondly pay down the balances. Begin with the more recent ones as the older ones will not affect your credit as much.

* Do not apply for new credit. Especially if you have current or recent bad credit. This will drive your credit score down.

* Creditors can change how the report is worded. Send them a letter asking them to change the wording. \”Seriously Late\” would be changed to \”Slow Payment\” and so on. Keeping in contact with creditors and staying in decent terms with them will go far in them working with you to assist you to clean bad credit.

Adhere to the above actions and be persistent and you can improve and clean bad credit report scores. It can require time but in the long run will save you on interest rates and payments. The other area you will need to take a look at is false or erroneous items on your report. These can often be reversed simply by sending letters as explained below and will also help clean bad credit.

* If you have any errors in your report make a copy of your report and highlight them. Send this along with a letter explaining the errors to the credit bureaus and to the creditor companies. Send these via certified or registered mail. They have forty five days to reply. If you have not received a reply in forty five days, send a letter referring to section 602,4b of the Fair Credit Reporting Act. By simply taking the time to send letters you can clean bad credit scores.

* Most people are afraid to send these letters because they think the creditors will have the records to back their claims. Actually only a few keep good records. Records are kept for only 13-18 months for most of the credit card companies. And with the many bank consolidations in recent years, a lot of these companies have failed to acquire records from acquisition companies. You can greatly clean bad credit by sending these letters.

* Section 611d states you are entitled a free corrected report from the credit bureau. If you do not receive one then send a letter.

You are allowed to put a one hundred word statement into your credit file. You can explain any problem areas and why they happened here. This is free and easy.

If you are diligent in taking care of your finances, be proactive on late payments, pay down accounts and dispute erroneous entries you can increase your scores. Allowing time and being diligent will go a long way in your effort to clean bad credit.

After losing his job, his car, and his home, Alex Nebwalz didn\’t give up. He fought hard to regain his life and his credit. Now, after 2 1/2 years he has repositioned himself and talks about it at his website cleaningupcredit.netwhere he writes about how you can improve your credit report, get mortgage loans for bad credit, the poor credit auto loan and how to clear bad credit.