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How Do You Improve Your Credit Rating?

How do you improve your credit rating in less than a 30 day period? What is the best thing that you should do to increase the set of three numbers on your credit report that is a very important thing for your financing status?

These are few of the questions that are commonly raised in online group discussions. Here is a story from a reader that gives some interesting reading. Over to David …
What you are about to read are some of the three steps that I used to take for my credit scores; from a horrible score of 592 to 762 which is a perfect credit in an almost overnight process. Now, if you are interested to improve your credit score quickly, then this story is good for you as this will surely help you:

In the year 1996, I made a particular decision that I would ruin my perfect credit history. I quit my salary job and have worked as an insurance salesman. This kind of job doesn’t give you that monthly salary but pays in a commission basis only. Within a period of a few months, I had lost everything- my house, my car, my credit rating, and my self respect.

By the end of 1997, I was living with my mother and during those times, my credit accounts were all severely past due. By that time, I was paying 22% interest charge on a broke-down blue Geo Storm. It’s a very sad thing to say but I was a real loser during those times.

Then, in the 1998 I became a banker. I had no idea during that time that this is going to be the cue or the break I needed to remove or eliminate all of my credit problems forever.

During the seven-year period of my life as a banker, I have come across several numbers of legal and highly effective steps to improve my credit rating. As a result of this, I was able to improve my credit score 170 points.

Here are the steps I did:

Step One: After spending a few hundreds of dollars on ineffective credit repair services, I have found out how to get bad and negative accounts removed on my own.

The basic thing I did was to write letters to the collection agencies requesting for proofs that the account were mine. About 89% of the time, they did not have any proof that the negative accounts belonged to me. As a result, they were deleted from my credit file.

Step Two:  I opened new accounts with very high credit limits and kept the balances low.

Step Three: I have added accounts with years of complete payment history to my own credit file; from 647 to 762.

While there are several good and effective steps, doing the steps I followed will help you increase your credit score as much as 200 points and each step can be completed in a matter of 30 days.