Do it Yourself Credit Repair - Is That Feasible to Improve Your Credit History Yourself?

Where there is a will there is a way, if you want you can repair the credit score on your own. The thumb rule is to be alert and avoid any laid back attitude.

No would be like to be penalized with a high APR on credit card, or keep paying the credit card debt for 20-30 years or find abnormally high transaction done on their credit card due to identity theft or data loss. If you are planning to apply for a new credit card or make one of the important purchases like buying a home or auto or get an educational fund, make sure your credit score is neat and tidy.

To start with, get an annual copy of your credit report from one of the three consumer reporting companies -

• Equifax,
• Experian, and
• TransUnion

This report gives you an elaborate detail of the transactions made. You can clearly see the late payments made if any, exceeding usage of credit limit, number of credit accounts and their type. These are clear pointers to alert you on a judicious use of credit card. If you have failed to make payments on time or have repeatedly maxed out the credit limit, or have default payments under collection notice, it is a potential threat to your score. Credit score is nothing but a number of three digits, something equal or greater than 700 is considered good, a range of 700-500 as average and below that is poor. So a bad score can indeed be a hindrance in applying for future loans. Revise your spending and payment habits to keep your credit numbers up to date.

Regardless of a good history if you find your report has suspicious elements, do not hesitate to raise a dispute with the credit bureau. Some of the likely reasons can be an incorrect report sent from credit card companies to the credit bureau or an identity theft on your credit card with malicious usage. Send a mail to the consumer reporting agency clearly stating the items you think are incorrect, the related source and the reasons if possible. Keep a copy of the report and notify the respective source (creditors) as well about the misleading information. Normally it takes 30 days to investigate the dispute raised. The consumer bureau agency verifies the incorrect items with the source - credit card companies, retail outlet or any purchase store. Once verified, it is corrected in your credit report and you can resume your activity as planned, you can reapply for loan or make a transaction etc.