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4 Ways to Clear Bad Credit History and Keep it Good

Clearing your nightmarish history on your credit report is not that easy, especially if you have no clue how credit reports and credit scores work. You might be thinking about lending money from the bank or a lending company. Alternatively, you might be planning on getting a car loan or a new credit card. Whatever it is, removing negative information on your credit report is a must, especially if you are fond of doing the things mentioned above.

A clean credit report is your key to acquiring loans. Yes, there might be some companies who offer bad credit car loan such as Alpha Finance, but that would cost you a huge amount of interest over time. A huge interest would only make your debt bigger and harder to pay off, so starting over with a clean slate is a much better idea.

Here, we give you a few ways to improve your credit score and keep it that way.

Review your Credit Report and Submit a Dispute

Request for a copy of your credit report from Credit Simple. It’s totally free and won’t take you more than 60 seconds. Review it, and if you see an error or something that is not supposed to be on your report, then report it ASAP to the credit bureau. You can either call or send an email to the credit bureau that you got your credit report from. All you have to do is describe what you think is wrong with the report, submit copies of proof that you currently have, and have them correct every mistake in there. It will take some time though, as they would have to investigate first before approving your request.

Opt for “Pay for Delete”

Pay for delete is one of the things that you can do if you want accurate negative information deleted on your report. All credit bureaus will only agree to delete inaccurate information, but will always leave accurate negative information in there. You can opt to use the pay for delete method for delinquent and past due accounts. Just take note that some creditors might agree on taking the offer, while some will not. If they do agree, then you would have to pay the full amount to have them remove the negative information on your report. Remember to always ask and communicate nicely, and you might just get your preferred outcome.

Try a Goodwill Request

If you have already paid for the account and the accurate negative information can still be seen on your report, then the next thing that you can do is to beg for the creditors to take it out. Write a letter to them stating the reason/s for your late payment, and how you have been a good payer since. Always remember to ask nicely, but remember that some creditors will agree while some won’t.

Wait it Out

If everything fails and the tips mentioned above did not work, then all you can do is wait for it to be deleted on your report. Old negative information will less likely affect your score though, and the more you replace it with positive information, the more chances your score will become higher. In the meantime, all you have to do is focus on paying your bills on time to avoid incurring more negative information on your report.

Some Tips on Keeping Your Credit Report Clean and Good

1. Pay your bills on time

2. Keep a low credit card balance

3. Take control over your debt

4. Do not close your old accounts

5. Slow down on new credit and loan applications

6. Always check your credit report from time to time

Always remember to keep your credit score and report in tiptop shape to avoid any hassle in the future. Good luck!