Check credit reports periodically and correct all inaccurate information. -Mistakes happen from late pays to credit fraud. Keeping up with your credit report allows you to catch the mistakes early enough to correct them. Consumers are entitled to receive a free credit report once a year from all credit agencies log on to www.annualcreditreport.com.
Pay off all past due and collection accounts- These accounts can come back to haunt you and bring down your score. After 7 years, you can write to Experian, Equifax or Transunion to have the collections removed. However if the debt is sold to another company before the 7 years is up even if it is 6 years and 11 months later, the collection company can add it on to your credit and the 7 year clock will start over again.

This means you could have a 700 credit score which is considered A credit and drop drastically depending on the debt that is added. Collections can also be placed as a lien on your property. This means if you decide to sell or refinance your home you will not be able to unless you pay off the collection and all accumulated interest.

Go back and negotiate your collections 25 cents on the dollar or 50 cents on the dollar with the debt collector. Also ask them for a letter of deletion before you make the payment. If you delete the collection it will be better than just showing it paid in full. Deleting collections or late pays will increase your score paying off collections will not but it will allow the clock to stop so your credit score can bounce back.

Open up a secured credits- When your credit score drops banks will not extend credit on credit cards without security deposits. Go to your local bank and apply for a secured card. The secured card allows the bank to extend a line of credit to you secured by a set amount you deposit in the bank. You can use the card and make payments as you would a regular card. You can only use up to the amount deposited. The card will start to raise your score as you use it and make monthly payments. If the card does not show up on your credit, simply write into the credit bureaus, Experian, Equifax, and Transunion and give them the card number, the name of the bank you have the card with, your address, your social security number, your name and they have 30 days to add the credit card onto your credit after they verify it with the creditor.

Retain older accounts proving good history and avoid opening unnecessary accounts- Closing accounts can hurt you keep your accounts open.

Prevent unsolicited promotional inquiries- You can opt out at www.optoutprescreen.com