Keeping yourself trouble free with your credit requires a close eye on your credit report and asking yourself some difficult questions. Sometimes it is harder to be honest with yourself than with a stranger. In order for you to stave off credit problems, you must be brutally honest with yourself.

Getting into financial trouble is easier than ever nowadays. Credit card companies are competing harder than ever for your business. People are getting and carrying more credit cards. Just a few years ago most people only carried one maybe two credit cards. Now, it’s not unusual for someone to have eight or nine cards on them.

With so many cards on your person, it’s real easy to get into trouble. To keep yourself out of trouble you need to sit down and evaluate your credit situation. Do you really need that many cards? If you think you are in or heading for financial trouble, ask yourself:

1. When you buy groceries is your credit card the only way you can pay?

2. Are you borrowing money to make payments on existing loans?

3. Are you being charged late fees on your bills month after month? (Don’t have to be consecutive months)

4. Do you have a hard time deciding which bills to pay?

5. Are your credit cards at the limit most or all the time?

6. Can you only afford to pay the minimum each month?

7. Have you deferred going to the doctor or some other important appointment because you couldn’t afford it?

8. Do you spend 20% or more of your net income on credit card bills?

9. Do you have a second job or a lot of overtime to pay your basic expenses?

Answer yes to any of these and you are either heading into or already in financial trouble. Chances are that you or someone you know is now or have been in this situation. Although it may seem difficult to get out of this kind of trouble, it’s not impossible. You have to recognize that you are in trouble and learn to cope. Then start looking for a way to stabilize and restore your credit.

There are several options open to you. Talk to your creditors and try to work out a payment plan that you both can agree on. Try to get them to waive your fees and/or lower your interest rate. If you can’t do that or think you need help you can hire a credit counseling organization.

The last thing you can do is file for bankruptcy. Bankruptcy is not to be taken lightly as it can stay on your credit record for 10 years. This should be your very last option. Make absolutely sure you have exhausted all your options before you consider bankruptcy.

Copyright 2007 Robert Hughes

You have permission to publish this article free of charge in your e-zine, newsletter, ebook, print publication or on your website ONLY if it remains unchanged and you include the copyright and author information (Resource Box) at the end. You may not use this article in any unsolicited commercial email (spam).



By: Robert Hughes

About the Author:

Foreign Exchange Trading

Having a bad credit score can really hinder a persons ability to get an extension of credit. Lenders rely heavily upon a persons credit rating to determine eligibility for a loan.

Bad credit lending is designed to help people rebuild their credit, get the money they need and be able to restore their credit rating so they can qualify for amore traditional loan in the future.

Having bad credit does not mean you can not borrow money. It may seem like it when you start out looking for lenders. The many nos you will hear can be discouraging. However, if you know where to look it can help turn a no into a yes.

Bad credit lenders understand that at some point you had to have a good credit rating because you were extended credit. They also understand that rebuilding your credit is something you have to do and they want to help. They assume the risk other lenders will not.

A person with a bad credit rating is considered a risk because they have a track record that shows they do not fulfill credit obligations. Lenders do not want to lose out on money so they would rather not lend to those with adverse credit. Bad credit lenders, however, assume that risk by charging high interest rates so they are making some profit from the start.

For a person to find a finance source it will take more than simply shopping around. They should try something different. Credit cards and bank loans are nearly impossible to get without some type of good credit.

They are not the best places to start. There are some credit cards designed for bad credit but they usually involve high fees and a very low credit limit to begin with. Unless a person is simply looking to build credit these are not a good choice.

Other places to try are web based lenders or sub prime lenders who specialize in helping people with bad credit. These are usually the best bet if a person needs a loan and also wants to build credit.

In recent years a number of these niche lenders have emerged as the number of people with an adverse credit history increases. Also high street lenders are now starting to relax their lending criteria in order to corner this profitable sub prime market.

A search online can produce many good possibilities. It is wise, however, to review all terms and conditions carefully. This includes reading all the paperwork and small print. Bad credit lending is not cheap but some lenders are really out to make money and not help at all.

Bad credit lending is out there, but it is costly. Once a person has damaged their credit it is going to take time and money to rebuild it. The god thing, though, is once a person starts establishing credit again they can begin to look at traditional lenders and take their bad credit loan and refinance to get rid of the extreme costs.



By: James Copper

About the Author:

Repair Credit

Ads abound almost everywhere (online and off) selling books, systems and secrets to help you fix your credit in a hurry. Many of these programs have claims which read like the covers of supermarket tabloids “In 3hrs my credit score jumped from 580 to 676!”… “Erase bad credit and smash your debts with just 2 Magic Letters!”. “Create a completely new credit file in 24hrs!” Are these types of claims ALWAYS too good to be true? The answer is “Yes and… no”.

While many people would love for you to believe that the only thing that can fix bad credit is time; in reality… nothing could be further from the truth. The fact is, time is only one factor which will fix a credit report (but it’s a far cry from being the only factor). How can I back this up? Easy. Under a consumer protection law known as the Fair Credit Reporting Act (a.k.a. the FCRA) the only negative information which can remain on your credit report is not what is accurate… but what can be proved as such. What’s this mean to you?

It means any negative item on your credit report can only remain there if it is accurate and CAN BE PROVED AS ACCURATE under the guidelines of the FCRA. This undisputable fact presents consumers with both good news and bad news. The good news is that through the FCRA your credit score can most likely be improved dramatically in a very short period of time with only a modest amount of effort on your part.

The bad news is that while the actual “work” will take very little of your time, it is vital that you have good information on “how” to go about it. This is the bad news; 9 out of 10 courses on restoring your credit will do nothing more than lead you into a snake pit. This is because they provide you with out-dated “Boiler Plate” dispute letters which are rarely effective. These are nothing more than form letters and… quite frankly (more bad news) the Credit Bureaus and Creditors will laugh at you if you try to use them.

While I agree with the Federal Trade Commission (FTC) that “Anything a Credit Repair Clinic can do for you legally, you can do for yourself at little or not cost”… the key element you need for success is the latest inside techniques and procedures to get the results you want. These involve strategies known as “Proof of Contract”, “Constructive Notice”, “Challenge of Procedure” or “Restrictive Endorsement” and many others.

All these terms may “sound” impressive but they are really quite simple. In the end, it is nothing more than a method of communication which exercises your consumer protection rights, gets the results you want and raises your credit score. Even more impressive, once you learn how simple it can be by doing it for yourself, you will find there is a fortune to be made doing it for others! Either way, it all starts by requesting a free copy of your credit report by visiting: AnnualCreditReport.com.



By: Jay Peters

About the Author:

Make Money at Home

There are companies out there that claim to be able to repair and restore good credit to those who have fallen onto the bad credit list. There is no quick way to repair bad credit. Some of these companies claim they can guarantee to get you a credit card regardless of your credit history. But often times they will take your money and run with the help of loopholes and fine print on a contract.

The best way to improve your score is to set an example of on time bill paying. The reason most credit scores are low is because of late and delinquent bill paying. This can be changed in six months to a year with committed on time bill paying.

Another way is to get a copy of your credit report. There are several companies that offer a free credit report. You should not have to pay a fee to have copy of this report or to have any changes made to it. Often if there are mistakes it is the credit card company that makes them and they should be the ones to fix them.

After you have done the research and found that you may be better off going at it alone, the first task is to get a copy of your credit report. Go through your report with a fine tooth comb looking for any discrepancies. You have the right to dispute any thing that is on your credit report and have it investigated. You may contact the creditors directly to notify them of any known errors and ask them to correct the mistake. Some blemishes can’t be removed but you can repair it yourself by living within your budget and paying your bills on time. After establishing a good credit history over a period of time it will make past mistakes more forgivable.

Another way to fix your credit is with a credit counseling company. These companies need to be researched just like a credit repair company. Do not put your faith and money in a company just because they have a catchy slogan or a cute commercial. When it comes to your money and credit it is important to stay on your toes. A reputable credit counseling company can act as a mediator with your creditors to lower or eliminate high interest rates while you pay off your outstanding balance. They usually require that you cancel your open accounts and pay them off before getting a new credit card. They can be a consolidator of your debt by allowing you to make a monthly payment directly to them and they will in turn make your monthly payments.



By: Gregg Hall

About the Author:

Spa Resorts

This article’s title, “Legal Credit Repair” connotes that any credit repair efforts you undertake must be legal, and that the steps you follow to rebuild your credit do not violate any legal provisions enforced by your state’s credit authorities.

The word “legal” must be uppermost in your mind because the market place is teeming with credit repair scams that advertisers are using to lure consumers to dish out hundreds of dollars in exchange for a clean slate on their credit profile. Many online resources will tell you that they’re just that - scams. In fact, getting a company to remove negative but true information on your credit report is illegal. No credit repair laywer or credit repair report service could do it for you. And they won’t, not unless they want their licenses revoked.

Some people, ashamed of their bankruptcy filings, would engage the services of a company to have that bankruptcy disappear from their reports. The sad fact is, it can’t be done. A bankruptcy stays on your report for 10 years, regardless of whether your rebuilding efforts has somewhat improved your credit profile.

When you take the steps to rebuild your financial credibility, just remember the words “legal credit repair.” The first word - legal - is the most important. Don’t hurt your standing further by thinking that there are loopholes you can take advantage of by hiring a miracle worker to do the job for you. The handwriting is on the wall, you can only rebuild your credit reputation by thinking legal credit repair.

If you’re unsure about what’s legal and what’s not, call the toll free number of the Federal Trade Commission to find out where your nearest branch is: 1-800-688-9889. You can also practice due diligence by calling your better business bureau and state attorney general’s office. There are also consumer protection groups in your city that you can contact. These individuals are equipped to brief you on issues concerning legal credit repair. And there’s always the Internet for additional resources you might need on credit legal repair.

In fact, just by reading one web site, we’ve stumbled upon the name of the company that you should stay away from: Credit Resource Management Group. According to the writer, this company is being sued for fraud.

Whatever you decide to do - whether legal credit repair is something you’d rather hand over to the experts or do it yourself - just remember that you’ll need to figure out your income (probably do a 12-month projection), list all your debts, check your credit, clear up inaccuracies in your credit and contact your creditors to discuss repayment options. These are just a few of the things you can do to restore your credit back to health.



By: Guy Ray

About the Author:

Dating and Good Relationshipx

Michael Williams wrote:

Do you have credit cards? The answer to that question is probably yes. With the use of credit cards comes the possibility of debt if you do not manage them properly. What exactly does that mean? Many individuals use credit cards frequently and do not pay off the balance each month. When this happens the balance continues to rise and if you have several credit cards that you are using and they all have high balances, this will adversely affect your credit rating. Enter the many credit card counseling services that are available today.

If you find that you are in debt with credit cards, do not be ashamed to contact a counseling agency. They are there to help you not only be free of debt, they will also help you analyze your spending habits; provide a financial plan that will eventually bring your credit status back to good standing.

When you have found a credit card counseling service that you are comfortable with, you can set up a confidential meeting. At this time, if you have your credit report, bring in your financial records, including your credit report. You and your counselor will review your credit history and your spending and payment of credit. They will then show you several different options to help eliminate debt from your life. If you agree with what they propose, the next step will be to start negotiations with your creditors.

You can do this yourself, or if you prefer, have the counselor act on your behalf. They will contact your creditors and begin negotiating for lower monthly payments and to have your interest rate and fees halted. It is important to remember that if the creditor agrees to this that you will lose access to your credit card accounts. Is this a bad thing? It may feel that way at first, but the reason for coming to see a counselor in the first place is to reduce your debt. So, take a deep breath and know that you are on your way to living a life free of credit card debt with the help of the counseling agency you have chosen.

When you begin a repayment plan, you will make one monthly payment to the agency who is working on your behalf. They will in turn pay your creditors. You are still responsible for reviewing your monthly statement to verify that the payments credited to your account are accurate. Getting out of debt will not happen overnight but with diligence and hard work, you will see your credit status restored.

Repair Credit

Leo Chu wrote:


You hear quite a bit these days about credit repair. While most of us are in need of it, repairing damaged credit can be a daunting task. Not many people have perfect credit scores. Unfortunately, the majority of the populace falls into the category of past due bills and overdrawn bank accounts. Debts become marks on our credit report. While they are not written in indelible ink they certainly are not easy to erase.

Balancing a tightrope is easier than balancing a checkbook for some of us. If we don’t record our financial transactions right away, it is easy to forget to do so later. Often a small error in calculation can be overlooked only to later resurface as a larger problem. Once such oversight happened to me and although I corrected the error and paid the amount in question, I still could not get the incident removed from Chex Systems for over two years. Even after being assured that it would be cleared up, I found that it had not.

I used to work as a representative for a credit card company and after speaking with numerous people who had suffered financial setbacks, bankruptcy or negative reports to credit agencies, the one common element in their stories was the fact that ‘black marks’ continued to remain on their credit reports long after debts had been paid. The remaining negative information made it difficult if not impossible for them to open accounts or make major purchases. Some of those stories were particularly moving, considering the ordeals the people involved had gone through in dealing with banks, credit bureaus and credit card companies. It can be a very time consuming process. Most of these people were left feeling that they were still being punished for a mistake they had already paid for long ago. Others felt there was no point in paying off their debts if the records were still going to remain on their credit reports.

Credit cards are a major source of debt. Although they can be a great convenience, cutting them up may be the best step a person can take toward freedom from the plastic jungle. Try to avoid credit cards at all cost if you are working toward managing debt. You may receive credit card offers that claim to help restore your credit by reporting to the major credit bureaus as long as you make your monthly payments on time. It sounds good but stop and think about it for a moment. These offers are usually being made to people who are already suffering from some degree of financial distress, even serious debt. They are going to welcome the opportunity to obtain a new credit card and get a second chance to get their credit back on track. Most often they will use the credit card because they need; this is where the path becomes rocky and the debt starts to pile up even faster.

One of the stipulations to receive the card begins with a fee, usually in the range of $30.00 to $40.00. There is an annual fee that may average $75.00 to $100.00. As if that isn’t enough, there is a processing fee and depending on the issuing company or bank, there may be other fees associated with the card as well. The annual percentage rate may be as high as 20% or more. Make sure you look over all of the material well, and read the fine print with a magnifying glass if you have to. The credit limit associated with such cards is usually between $200.00 to $500.00 and if the cardholder cannot the balance in full each month, he or she may find that the balance amount has nearly doubled in a short amount of time. Rather than finding themselves on the road to restoring their damaged credit, they may find themselves sinking deeper into the quicksand of debt. I learned the hard way, as many others have, that the best place for those offers is the trashcan.

If you want to free yourself from the oppression of credit card debt get out the scissors and cut the cards. But if you do so, be certain to notify the issuing bank or company that you are canceling the account. You should do this by phone and in writing. Many credit card issuers will not cancel the account unless you notify them in writing. Otherwise the balance may continue to rise and you will be considered liable to pay the bill if you do not send them a written notice. Make sure the information is dated. Anytime you contact the company, keep a copy of the information and any transactions for your own records. If you speak with the company by phone, ask for the name, employee identification number or any other pertinent information of the person you are speaking with. Write it down so that you have the information to reference if the need would arise in future dealing with the company. You may also ask if the phone conversations are recorded and how long they are kept, if no information is stated.

As for getting out of debt, use cash to pay bills and make purchases whenever you can. When shopping, a good rule to keep in mind is if you can’t afford it, don’t buy it. If you write a lot of checks, pay careful attention to balancing your checkbook. Be sure to compare your checkbook to your monthly statement and keep an eye out for any discrepancies. If you feel you are in need of credit counseling or a financial advisor, compare prices and services before making the commitment. After all, your goal is to get out of debt not to have more unnecessary bills to pay.



Trim Dog Nails Safely

Jon Francis wrote:


If you’ve been struggling with credit problems and trying to heal bent and broken credit, you may feel as if you’ll never be able to clear your adverse credit rating. But as one major UK lender says, ‘There is always a way’. In fact there are many ways to restore your credit - including to simply wait. Time will erase even the worst credit faux pas from your credit report. If you’d like to give time a little nudge, though, you can speed up the process of restoring your credit with one of the several varieties of bad credit credit cards.

- There are many reasons to want to improve your credit more quickly. As little as ten years ago, bad credit really was only important to those who were looking for a mortgage or a loan of some sort. Credit cards were a nice thing to have, but far from the necessity that they are in today’s world. Even more importantly, though, is the fact that your credit score is used for far more than deciding on whether or not to grant you a loan. The ease with which computers can check your credit has made it common for employers and landlords to run credit checks on prospective employees and tenants, among other things. Having some serious dings and dents in your credit can affect far more than whether you’re accepted for credit cards or loans. Poor credit can keep you from the job you want or the flat you’ve fallen in love with.

- So how do you repair bad credit once it’s happened? The very best way is to start rebuilding a good credit history - now. Even if your credit is completely shot to pieces, there are UK credit card companies that specialise in bad credit credit cards. The most common of these is a secured credit card. No matter how bad your credit history, you CAN get a secured credit card.

With a secured credit card, you deposit money in a bank account tied to your credit card. That money serves as security for your repayment. As long as you make your payments on your secured credit card in full and on time, that money stays in the bank account earning interest. You can even add more money to your secured account to raise your credit limit on your secured credit card. Many companies that offer bad credit credit cards will even offer you a traditional credit card after you’ve made regular, on-time payments for 12-36 months.

The credit card company will also report your on-time payments to the credit bureaus, which will begin rebuilding your credit. Your regular, timely payments will be evidence that you have turned yourself around, and often within a year, you’ll be able to qualify for a regular credit card without a security deposit.

You’ll find all the information you need to compare secured credit cards at comparison websites. You’ll be able to compare credit cards, bad credit credit cards and secured credit cards to find one that’s just right for you.



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