Credit repair is a popular topic in the personal finance world, and for good reason. Having good credit has become more important since the last recession, and many people are struggling to bounce back from having fallen into debt during that time. It can be easy to fall into debt in the first place, missing a couple of payments and next thing you know, interest accrues, and you can’t afford to pay it back. Maybe you were unemployed for a time and spent your last dime keeping your children fed and a roof over your head. Whatever the situation is, there is hope at a life without debt. The first step is creating good spending and saving habits so you don’t spend outside your means, and the second step is to repair the damage that has been done to your credit. With the right credit repair know-how, you can restore your credit score and your peace of mind along with it.
At Your Personal Finance Tips, we are happy to encourage all our readers to learn everything they can about the subject. We do our best to educate our readers on the basic steps to take in the credit repair process, but we also understand it’s only possible to go so far without having the motivation to learn and energy to put behind making real chances. After all, if you’re in debt, chances are you’re dealing with daily stressors like debt collectors, missed payments, cut-off dates, and tight budgets. Why would you want to add the stress of learning credit repair on top of that? A little extra push now will give you the knowledge you need to create a brand new financial life for not just yourself, but your family as well.
Studies show that those who are trying to fix bad credit scores tend to have to overcome bad personal finance habits too, such as frequently missing payments, not attempting to pay off previous debts, never using their credit, or applying for too much credit at one time. All these things can be avoided, but it’s up to you to educate yourself on good and bad credit habits so you can ensure your credit score can be repaired easily the first time around.
Our Promise to You
Your Personal Finance Tips blog is dedicated to keeping our readers engaged and helping them understand the basics of personal finance, credit repair, debt management, and best spending practices.
We understand that it can be difficult to filter through all the internet results before you even know what you’re looking for. The first time you begin that search, it can feel overwhelming and tough to sift through everything looking for the right answer – or even a good answer. We know not many personal finance blogs on the internet today have quality assurance standards, which is why we decided to create this blog.
No matter where you find your information, we encourage all our readers to always educate themselves and remember to fact-check with reputable outside sources to ensure the information they’re reading is the most up-to-date and accurate for the time of reading. After all, fact-checking is a great habit no matter the subject or source. If you’re trying to control your finances, then it’s time to start learning some good habits again.
Should You Hire A Credit Repair Company?
One of the top questions we get as a personal finance blog is: can I repair my own credit? A lot of people wonder if it’s possible, or dive right in without even considering that a credit repair company is an option for them or their situation, only later questioning if it would have been a better move to simply hire a company.
The truth is, yes. Almost everything a credit repair company can do, you can do yourself with a little sweat and hard work. Whether that’s worth it, on the other hand, is a completely other question, and one we can’t answer for you.
Some people feel the best option would be to work their way through the credit repair process, whether it’s with a credit consultant by their side or on their own. This decision could be for a variety of reasons, whether you simply enjoy learning new things, or you want to take the matter into your own hands. No matter what reason you have, it’s important to understand what you’re doing before you take on the credit repair process.
Taking on the responsibility of credit repair is not a light duty, and the learning process could take months alone, before you even begin to check your reports and send dispute letters to your credit bureau. Between fulfilling responsibilities at the workplace, making sure your home is clean and food is on the table, and helping your kids with their homework, there’s so little time left in the day for things like credit repair.
What if you simply don’t have the desire or time to repair your own credit – if there’s already too many things to do with too little time in the day, it may be a good idea to look for a company who is compatible for your situation instead of trying to fit the repair process into each day. After all, the credit repair process can take months to completely kick off, so why should you have to rely on the hope that you’ll be able to follow through with so many reminders and letters to send off to the credit bureaus? After all, if you let someone else handle your taxes, your credit is no different. The ease of use alone is worth the money spent on the service.
We typically recommend credit repair companies to our readers because chances are, if you’re reading our blog on credit repair, then you need to repair a damaged credit score, or at least set up monitoring for it. Many companies offer a credit monitoring service at a low monthly payment that requires little to no work on your end, other than a consultation at the beginning. If you’re in need of credit repair, the company will be able to handle everything necessary for the process. You may have to step in for the initial consultation and look over your credit report with them, but, beyond that, there’s no tricky paperwork to go through or confusing guidelines, or laws to work around. The credit repair company will handle everything else for you, and you can go back to your everyday routine, enjoying the things that truly matter, like spending time with your kids or sitting down for lunch with your partner.
Hiring a credit repair company also means you’ll have a credit professional to chat with should you have any questions concerning your credit report or credit score. Often times, credit repair companies will have free consultations so they can get to know your situation better, and help you understand the process. Hiring a credit repair company takes the hassle out of your hands and gives you peace of mind that your credit is on its way up.
If you’re interested in finding a credit repair company that’s right for your financial situation, you’re in luck. Your Personal Finance Tips offers credit repair reviews of companies we believe are legitimately good companies, so be sure to visit that page to get started in the right direction. In this section, we do our best to ensure all our readers get value from our reviews and advice, no matter their financial situation. Whether your credit score could use some attention and repair, or you’ve got excellent credit and you’re looking to maintain it, a credit repair company can always be a useful addition to your financial management folder.
As always, remember to do your own research and educate yourself even if you hire a credit repair company. You won’t have to do any of the work yourself, but you’ll be better equipped to ask questions and evaluate the progress of the company.
How to Start Repairing Your Credit Score
The authors at Your Personal Finance Tips understand what it’s like to start from the beginning and not understand the first thing about personal finance. Unless you specialized in it, not many schools teach the subject that so many of us wish we had learned when we were younger. Fortunately, there’s still time to repair your score and get out of debt with minimal lasting damage to your score, no matter what your financial situation looks like right now. All it takes is a little sweat and hard work and you can do it all yourself or hire a credit repair company to take care of all the details so you have peace of mind knowing your financial health is being taken care of.
With all things, there are best practices, and then there are things you should avoid when you’re trying to repair your credit score. Many people try to jump right into repairing their score by getting rid of their credit cards and paying off all their debts. Well, while paying off all your debts is a great thing, getting rid of all your credit cards may not be in your favor. There’s a right way to use credit cards, and evidence has shown that not using credit cards at all can actually hurt your credit score health overall. Who knew?
The important thing to remember is that your credit report should be the same across all three major credit bureaus. You can only order your own credit reports once every six to twelve months depending on the credit bureau, or under special circumstances such as identity theft. These reports tell credit lenders and financing institutions what your credit health looks like and helps them decide if you’re in a position to pay back any money they loan you or if you have been responsible enough with the money you have to reliably pay their bills.
If you are struggling to keep up with your debt or have had faulty charges on your credit report, your lender will use that information to decide whether they should approve you for a loan or credit card. In many cases, if you have poor or mediocre credit, you can still get approved for lower-end institutions but be prepared to pay an arm and a leg in interest. Many higher-end, lower-interest places will simply refuse anything below an excellent credit score because the possibility of not being paid back poses too great of a risk to their business.
Having and maintaining an excellent credit score is one of the best things you can do for your wallet and will provide an excellent example for your children as they grow older. Who knows, with the information you learn today, you may even be able to capture their interest and teach them how to manage their own finances when they need it, helping them build their credit so they don’t have to repair it down the line.
Thank You for Visiting
At Your Personal Finance Tips, we want to thank you for reviewing on credit repair section. We value our readers and appreciate the time you take in educating yourself about personal finance and credit repair. No matter what your motivations for learning about credit repair, we hope that you find what you’re looking for and glean a little extra knowledge out of this website today. Your readership and support is what keeps us going, creating and planning new articles day in and out, providing a valuable resource to hundreds of other people out there, trying to find simple and straightforward answers to how they manage their finances.
From the authors, to you: thank you, and let’s make this year great.