How to Fix Your Credit If You Are Deep in Debt and Cannot Get Out!
When it comes to money we are all judged on our credit report and our credit score.
This can be a very bad thing for you if you need financing and your credit report is not that good at all.
This can make it very difficult for you to get the financing you want and that is not good, so you need to know how to fix your credit.
The first step is to list all your debts in the proper order.
This is going to be your master list and this will be the order that you pay off all your debts until the list is empty.
You want to start with the smallest dollar amount debt and work your way to the largest.
Do not include debts that you have always paid on time and continue to pay those debts on time.
Second, you need to figure out how much money you can afford each month when you are learning how to fix your credit.
You need to do a budget that includes all your monthly and yearly expenses.
Take a close look and see what expenses you might be able to eliminate or cut back on.
Here is a short list of things to consider.
- Cut your cable back to basic instead of premium - Make your daily coffee at home instead of buying it at a coffee shop - Start packing lunch each day - Go out one time less per month - Cut back on your gas usage by car pooling or using public transportation when you can - Start clipping coupons - Cut back on your cell phone bill or cut out your land line if you have a cell phone Last, follow your budget and start paying off each debt one by one.
Each time you are working with a new debt on your list you want to make a phone call to the creditor and see if they are willing to let you settle the debt for less than you owe.
If they agree to ask them to mail you a letter stating the terms of what you agreed upon and to give you 30 or 60 days depending on how much time you need to pay it off.
This can be a very bad thing for you if you need financing and your credit report is not that good at all.
This can make it very difficult for you to get the financing you want and that is not good, so you need to know how to fix your credit.
The first step is to list all your debts in the proper order.
This is going to be your master list and this will be the order that you pay off all your debts until the list is empty.
You want to start with the smallest dollar amount debt and work your way to the largest.
Do not include debts that you have always paid on time and continue to pay those debts on time.
Second, you need to figure out how much money you can afford each month when you are learning how to fix your credit.
You need to do a budget that includes all your monthly and yearly expenses.
Take a close look and see what expenses you might be able to eliminate or cut back on.
Here is a short list of things to consider.
- Cut your cable back to basic instead of premium - Make your daily coffee at home instead of buying it at a coffee shop - Start packing lunch each day - Go out one time less per month - Cut back on your gas usage by car pooling or using public transportation when you can - Start clipping coupons - Cut back on your cell phone bill or cut out your land line if you have a cell phone Last, follow your budget and start paying off each debt one by one.
Each time you are working with a new debt on your list you want to make a phone call to the creditor and see if they are willing to let you settle the debt for less than you owe.
If they agree to ask them to mail you a letter stating the terms of what you agreed upon and to give you 30 or 60 days depending on how much time you need to pay it off.
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