In Less Than 30 Days.
"What can you do to increase that set of three numbers on your
credit report that can be so important with your financing?"
I came across this question as I was surfing discussion groups
the other day. Check out my answer:
Dear Friend,
Here are 3 steps I used to take my credit score from 592
(horrible credit) to 762 (perfect credit) almost overnight.
If youre interested in improving your credit rating quickly,
youll find this story helpful:
In 1995 I made a decision that would ruin my perfect credit
history. I quit my salary job to become an insurance salesman.
The job paid commission only. Within a few months I lost
everything - house, car, credit rating and my self respect.
By the end of 1996 I was living with my mom, all my credit
accounts were severely past due, and I was paying 22%
interest on a broke-down green Geo Storm...I was a real loser.
Then, in 1997, I became a banker. I didnt know it at the time,
but this would turn out to be the break I needed to eliminate my
credit problems forever.
During my seven years as a banker, I came across several
legal and highly effective ways to improve my credit rating.
As a result, I was able to increase my credit scores by an
average of 170 points.
Heres what I did:
Step #1:
After spending hundreds of dollars on credit repair services that
didnt work, I found out how to get negative accounts removed
on my own.
Basically, I wrote letters to the collection agencies requesting
proof that the accounts were mine. 89% of the time they had
no proof that the bad accounts belonged to me. So I was able
to get them deleted from my credit file.
Step #2:
I opened new accounts with high credit limits and kept the
balances low.
I discovered that if you keep your available credit limits high and
only use 10% to 30% of the credit you have available, your
credit score will improve dramatically.
Step #3:
Next, I added accounts with years of perfect payment history to
my credit file. This step took my credit score from 647 to 762.
While you can certainly add seasoned accounts to your credit
file for free, there are companies that claim they can do it for
a fee.
The problem is, they charge between $2,000 and $2,500 per
account. If you want a 700+ credit score youll need 3 to 4 of
these accounts. That equates to a cost of $6,000 to $10,000.
(You can conduct a search on your favorite search engine for
companies that offer this service.)
While there are several highly effective steps you can take to
increase your credit scores by as much as 200 points, these
are the main ones...And heres the good news: Each step can
be completed in less than 30 days. |
