DIY Credit Repair: How to Repair Your Own Credit Score FAST

Hey, credit heroes. Do you want to learn how to boost your credit score in five minutes? Well, today I'm going to show you exactly how to do it, so you better stick around. My name is Daniel Rosen, and welcome to Credit Repair Business Secrets Credit repair isn't rocket science. All you have to do is learn your rights and take action. If you It's a simple process that removes inaccurate information from credit reports and increases your credit scores. You can do it yourself or you can hire a credit repair pro. Either way, the basics remain the same. It's like fixing your car or doing your taxes. Investing in a pro can save you a lot of time and money, but learning how to do it yourself is cost effective and you acquire a valuable new skill set. In fact, most successful credit repair professionals began their journey by boosting their own scores. Then they decide to help their friends and family do the same. And then they turn their skills into a profitable new business. Considering that 79% of credit reports contain errors and 40% of Americans have scores below 700, these skills are needed more now than ever. So whether you do it yourself or you hire a professional, the important thing is that you take action towards a better credit score and a brighter financial future. Here's how this relates to us. If you choose to repair your credit yourself, you'll need to get comfortable reviewing credit reports, identifying errors, and mailing dispute letters to the credit bureaus. And depending on your circumstances, you may need to file complaints with regulators who or enlist the help of an attorney. If you hire a credit repair professional, they can handle the entire process for you, potentially achieving better results faster. But do your research and pick a reputable company and stay away from scams promising quick Fixes Even if you don't plan on buying a house, getting a loan, or building a credit repair empire anytime soon, you should be working to improve your credit score now. A higher score means it's cheaper to borrow money. You have more purchasing power and more negotiating power with lenders. Whenever you take out a line of credit, your repayment interest almost always depends on your credit score. The better your score, the lower your interest rates and the more money you save. For example, if you apply for a mortgage and you have good credit, you generally get an interest rate that's 1.5% less than somebody with bad credit. This means that on a 30 year mortgage, you'll save tens of thousands of dollars. So now that you know the benefits of having a good credit score, let's talk about credit score goals and how to achieve them. If I move fast. Don't worry. I'm going to put all this in a guidebook that you can download for free@creditrepaircloud.com 7 Simple Things to increase your credit score and there are dashes between each of those words. Here's the thing to remember. Credit scoring is a system that lenders, creditors and other organizations use to evaluate your creditworthiness. The most commonly used scoring model is the Fair Isaac FICO score, which ranges from 300 to 850. The higher your score, the better your credit rating. Here's a breakdown of the different credit score ranges and how they're graded. 300 to 579 is considered poor, 580 to 669 is fair, 670 to 739 is good, 740 to 799 is very good and 800850 is considered exceptional. Credit scores are calculated using five categories, each weighing differently on your score. Payment history makes up 35% of your credit score, credit utilization or amounts owed is 30%, length of credit history is 15%, new credit is 10% and credit mix makes up 10% of your score. The three main credit bureaus, Equifax, Experian, and TransUnion, they use the FICO model to build your credit scores. Unfortunately, they sometimes have different information, which results in three different scores. This is also why we must dispute each error individually with each of the three bureaus. Now, you might be wondering, do I need a perfect 850 credit score? Well, according to FICO statistics, out of the 232 million US customers with a credit score, only 1.6 of them have a perfect 850 score. It takes years of hard work to reach that score and extreme discipline to maintain it. But the truth is, you don't need a perfect 850 score to achieve financial success. According to Ethan Dornhelm, the VP of FICO Scores and Predictive analytics to Lenders, a consumer with a score in the 800s is a sparkling applicant. So from the standpoint of qualifying for credit, you it doesn't matter whether you have an 850 score or a score just below it. Here's why this is important. FICO scoring data shows that a 760 credit score is the minimum needed to be offered the best interest rates from lenders. And some experts say a credit score of 780 is the target to hit to get the very best available rates. But Whether it's a 760, a 780 or an 800, there is one credit score fact that everyone agrees on. The higher the score, the better. So no matter what your credit score is, any opportunity you have to boost it, you better boost it. Here's what you need to know. You can do a ton of very simple things to raise your credit score. First, you want to review your credit reports from all three bureaus and you want to correct all the obvious errors. 79% of credit reports have errors, so carefully review your reports, look for inaccuracies and dispute them immediately. If you need access to your credit reports, you can request free copies from each of the credit bureaus@annualcreditreport.com Start by confirming that all your personal information is up to date and accurate. It's unbelievable how often this is the case of scoring issues. Note any suspicious items that don't belong to you or duplicate accounts. Accidental duplicate accounts are a very common problem for those with student loans or accounts in collections, but they could also be a sign of fraud, so investigate their cause and contact the bureaus immediately. Review the details of any negative items on your credit reports, including late payments, charge offs, collections and and accounts listed as settled, paid, derogatory, or paid charge off and check them for errors. For example, most negative items can only appear on a credit report for limited time, typically seven to 10 years. I call it the credit time clock. If an item exceeds its time limit and hasn't fallen off, automatically demand its removal. Another way to boost your credit score fast is to get your credit utilization ratio below 30%. Credit utilization is the second most important factor in determining your credit score, and it's the easiest to address. Credit utilization means the amount of credit you're using compared to the total amount of credit available to you. The most common number associated with credit utilization is 30%. For example, if you have a credit card with a $10,000 limit, you should only use up to $3,000 at any given time, even if you pay your account off in full each month. If your balances exceed 30% of your credit limit, you can pay it down, or you can request that your creditors raise your available credit limit. Just do what makes most sense for you. Also, pay attention to the length of your credit history. The length of your credit history makes up 15% of your credit score, so closing old accounts can shorten your history, which hurts your score. So keep old accounts open and use them occasionally to maintain your positive record. If you hate credit cards like I do and you don't want to use them anymore, cut them up or hide them away. But be sure to keep the account open, just don't let them do any more damage by getting rid of them. And last, if you want to improve your credit score, apply for credit sparingly. Every time you apply for new lines of credit, your credit report gets checked, which can harm your score. And if lenders see too many applications on your report, they might see that as a sign that you're a high risk borrower. On top of that, opening new lines of credit and accounts less than a year old can actually hurt your credit score. New credit accounts make up 10% of your credit score, so only apply for new lines of credit when absolutely necessary. There's so much more to say and so many more ways to boost your credit scores. But I'm already over the five minute mark and you can check out the rest when you download my free guidebook@creditrepaircloud.com 7 Simple Things to increase your credit score and be sure to put those dashes in between, just like it says below. And to make it easier for you, I'm going to put the link over there in the show notes. Here's my final point. Like I said earlier, credit repair isn't rocket science. You can do it for yourself. You can hire a professional, and most professionals started by doing it for themselves. But either way, all you really need to boost your credit score is to learn your rights and take action. And I'll end by saying, if you want to learn more ways to boost credit scores, check out my video proven strategy to remove late payments from credit reports. And if you'd like to get certified in the disputing process, check out our Credit Hero Challenge. Doors are closing soon, so sign up now@creditherochallenge.com and start changing lives.