The Importance of Credit Repair

A credit score plays an important role in many aspects of your life, including your finances and your ability to get approved for loans and other financing options. If you have low credit, however, you may have trouble getting approved. If your credit score is in the low 600s, you’ll likely need to consider credit repair if you want to be able to apply for new lines of credit and improve your overall financial situation. This article covers some of the basics of credit repair and explains why it’s an important consideration if you have low credit scores.

1: Deleted Records

The importance of having your criminal records deleted can’t be overstated, especially if you’re trying to find a job or get credit. Anyone can have their records expunged, though some actions are easier than others. You might qualify for expungement if you were arrested but never charged with a crime, weren’t convicted or received an acquittal. Other circumstances that could lead to expungement include conditional discharge and probation before judgment. Regardless of why you want your record cleaned up, 609 credit repair has been helping people do just that for years and will work with you to figure out which avenues are best for expunging your criminal record.

2: Address Discrepancies

Once you’ve gotten an idea of where your credit stands, it’s time to actually fix it. First, address any discrepancies between what your score says and what other agencies say; these are called discrepancies or disputes. Here are a few places you can dispute information that could be holding your score down: FICO Scores, Vantage Score and Equifax. If something looks incorrect on your report, flag it with one of these agencies and they’ll investigate further. Be ready to submit supporting documentation, like receipts for car loans or utility bills in your name—in fact, getting a statement that includes personal information about someone else could harm their credit scores as well as yours! Remember that once you request new information on your file (via verification) with each agency, they’ll have 30 days to respond—but if you want updates every step of the way; be sure to opt-in when you request new info.

3: Duplicate Records

People who file for bankruptcy lose their rights to a good credit score, which can make it difficult to get loans or mortgages. When you file for bankruptcy, information about your debt becomes public and stays on your credit report for 7 years. This can be an issue if you need financing during that time and can’t find anyone willing to give you a loan because of your poor credit score. The Fair Credit Reporting Act ensures you are only responsible for $50 if there is a mistake in your credit report, which makes it worthwhile to check yours from time to time even after filing bankruptcy.

4: Fraudulent Entries

Bad credit can result from a wide range of things, including identity theft and errors on your credit report. Often, these types of errors are just erroneous data, but there are instances where they could be caused by something more serious. If you suspect that someone has been making fraudulent entries to your credit report, it’s important to take immediate action—but what should you do? In some cases, a simple dispute with one company is enough to remove fraudulent information from your record; for other entries (such as those related to identity theft), though, it may be necessary to contact each of your three reporting agencies individually.

5: Bankruptcy Filings

Almost One Quarter (23%) of All Americans Have Filed for Bankruptcy— and That’s Probably an Under-Representation, Says a New Report (if link doesn’t work) Everyone has debt. It’s practically unavoidable in today’s society. The debt we accumulate varies from school loans to medical bills, but these debts can quickly spiral out of control if left unchecked. This can lead people to filing for bankruptcy , but how common is it? A new report from NerdWallet found that almost one quarter (23%) of Americans have filed for bankruptcy at some point in their lives .

The most common reasons people file are:

31. Bankruptcy Filings Often Lead to Positive Outcomes Despite once having struggled with your finances, many people still managed to climb out of debt and build stable financial lives .

 Among those who had declared bankruptcy in their past: 32% made more than $50,000 per year 33% said they didn’t struggle financially after filing for bankruptcy 34% managed to pay off any debt within five years In fact, 63% had paid off all their debts within five years of declaring bankruptcy! There are many routes you can take when trying to fix your finances after a chapter 7 or chapter 13 filings. First, you might be eligible for credit counseling services, which help identify options you could use to reduce your monthly expenses or change things about your spending habits.