9 Signs you need to repair your credit
Bad credit isn’t fun at all, apart from getting you worked up and feeling embarrassed, it can hinder a lot of things.
For instance, some companies use your credit to decide if they want to hire you. A dream job may slip off because of bad credit.
Besides this, bad credit is quite expensive. It can increase your interest rates and utility bills or even get your credit card blocked.
It is a comprehensive record of your credit history that allows a lender to view your financial state. It allows them to decide if they want to lend you money and on what terms. With bad credit, creditors may not approve your loan application.
Here’s the good news! Bad credit doesn’t have to be permanent. You can repair your credit once you notice it’s bad.
But how can you tell that you have a bad credit? There are significant signs that show you have bad credit. Once you get any of the signs, it means you need to improve your credit report.
If a lender rejects your credit card application, it may be a sign that you need a credit repair.
Lenders usually check credit reports to see if your overall financial state is good enough for them to lend you money. If it’s below expectation, your loan application may not get approval.
However, lenders send a copy report when you are denied credit so you can see what affected your loan approval.
Calls from a debt collector mean you have unpaid balance or bills. When you don’t pay back your creditors, they may pass your information to the collection agency to get their money from you. It will appear on your credit and affect your chances of getting a loan or credit card approval.
In this situation, getting a credit repair requires you to pay off the debt collectors. However, if the debt doesn’t belong to you, you will have to dispute that with the credit companies.
Landlords before renting out their house check credits too. They want to be sure they won’t be getting late payment from a tenant. Bad credit can give a landlord the impression that they will keep chasing you for payment and then decide to turn down your application.
Several companies (not all) and employers check credit reports to decide if they want to work with you. Especially for a top or financial position that involves managing money, employers will want to see how you’ve managed your financial state in the past. Bad credit may cost you a job, consider getting a repair if the employer will need a credit check to complete the hiring process.
Lenders give high credit scores to borrowers who prove responsible. Low credit score means you have gone wrong with a lender in the past. Nowadays, if your credit score is below 650, your credit is poor, and you need credit repair.
When your credit card is closed down by a card issuer, it means your credit needs a repair. Usually, lenders review account statements of borrowers, and if your account proves risky, a lender may close the credit card.
No one would like to pay more interest than they already are. However, credit issuers most times will raise interest rates if they get information from your credit that requires them to do so.
Creditors don’t just increase your interest rate; they act according to your credit report. For example, if you are late on payments to other creditors or a new collection account shows up on your record, you could get a higher interest rate from creditors.
When you need a credit repair, lenders may not approve a loan application unless a friend or family co-sign for you. If you can’t get someone to co-sign, your credit needs a repair. After a credit repair, you will be able to get loans without needing anyone to co-sign for you.
If you are experiencing one or more of the signs above, you need a credit repair. As discussed above, bad credit may affect your chances of getting a credit card or loan, a job, a utility service, an apartment, or even lead to the closure of your credit card. You can avoid that by improving your credit.
The first step to improving your credit is to request your credit report. It will make you know your credit state and overall financial health. Confirm that the information in your credit report is accurate and if it’s not, dispute it as quickly. Also, track your credit from time to time and be aware of your financial health.
Also, do not apply for a credit card if you have bad credit as this lowers your credit score. Although you may want to repair your credit card yourself, getting a credit repair company is better.
If you have the time and effort to put in the hard work to fight credit agencies, you may not need a credit repair company.
But, if you prefer a professional to go through the hassle for you, a credit repair company is the best option.
We at The Credit Life Coach care about your credit just like you do! We will help you get the credit you want within the shortest period. We will assign a personal credit repair coach to you and work with you and will help you resolve bad credit issues with credit companies and find ways to improve your credit.
Rosalia Campione has helped thousands manage their credit and taught them how to use credit responsibility. She has spoken on many topics related to credit, building great credit and rebuilding healthy credit the right way. Her goal is to educate on healthy credit and the steps needed to get there by customizing her speech for crowd specification. If you’ re interested in Rosalia speaking for your audience, schedule your event today!
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