Repair Credit Score

Posts Tagged ‘credit score repair time’

Question: how long after i pay a credit card in debt collection will my Credit Score start to repair itself? and...?

will it ever be fully repaired and if so (because the rest of my bills are always paid on time), how long would it take?

Answer: Usually, a couple of years after negative items are paid off, your score will start to rebound. However, your Credit Report will reflect the negative entry (even a paid off collections item is a negative) for 7.5 years after last activity and will be seen by any future creditors who pull your Credit Report during that period. A good payment history for a couple of years after a negative will make some lenders look at you more favorably (for example, if you are trying to get an FHA home loan, your most recent two year payment history is more important than your Credit Score, but you will still need a minimum FICO of about 620 and a minimum 3.5% down payment to get any lender to underwrite the mortgage) , but not all will do so.

If you do pay off the collections account, see if you can get (in writing) an agreement to "pay for delete". That way, the collections item will be removed. However, the original charge off item will remain for 7.5 years from the time it was first reported.

Credit Repair FACTS: info from the Credit Secrets Bible

Question: what is the best way to repair my Credit Score?

what is the best way to repair my Credit Score , i ran into a few problems last year and my Credit Score dropped , but now i have not one outstanding bill i just sold a home and payed off a 400,000 Mortgage i have zero bills and i just took out a few credit card to start the re buliding of my score , is there any othere way to up my score faster
i also have a 500 a month car payment 3 new credit card that i use offen and pay most of the balance off every month , i also a a cell under my name ,, if i contunie to pay these all on time home much time will it take before i see my Credit Score move higher

Answer: Ok, first start with paying off debts like credit cards.
Cancel all and keep only one.
Then lower the allowed balance to $2000.
NEXT
Then get a copy of your credit reports and close all existing credit card accounts even if they have a zero balance.
A $5000 available credit card with a zero balance looks like $5000 potential debt. This hurts your score.

Improve Credit Score