Repairing Credit

Do you currently have a low credit score? Whatever the reason, you should know that you’re not alone. And you can start now to get back on track. Just be patient – it takes time and effort to improve your credit.

Here are a few steps to get you started: Review your detailed credit report from the three credit companies (Experian, TransUnion, and  EquiFax), and dispute any inaccuracies.

• Establish a budget, and avoid using credit to make new purchases.
• Start making on-time payments toward any credit card balances, mortgage or rent, and other bills you already have. If possible, pay more than the minimum on the highest-interest credit card, until it’s paid off.
• Open an additional credit card if you can, to increase the total amount of credit you have access to. The key is not to use the new card. This can improve your score, by improving your ratio of total credit used to total credit available.
• If you don’t currently have or use credit cards, consider applying for a secured card. This type of card has a low maximum balance, within an amount that you already have in an account of your own.
  
  This way, you won’t get into excessive debt, and you can work at making payments on time, every time. If you can’t, the card company will take your payment amount from your bank account — so you won’t get sent to collections. 

As you gradually work to improve your credit score, you’ll also reap the benefits. With a good credit rating, you’ll eventually find it easier to make major purchases — like a car or home — or to get loans or lines of credit for other needs.

Get Sensible Advice

Contact us or stop by one of our branches with any questions you may have. We’d love to help you get your financial life back on track.