How to Fix a Poor Credit Score

Poor credit scores result from being late on payments, having too much debt or declaring bankruptcy. When someone finds out he has a poor credit score, it sometimes leads to panic. What many people do not realize is that having a low credit score is not the end of the world. Credit can be repaired, and by following the proper procedure and guidelines you can raise your credit and get back on the right track so that you can be later approved for loans and mortgages.

Instructions

1

Go over all your expenses for your current year (bills, car payments, food, taxes, etc.) and budget out your income accordingly. Having a good grasp on all your expenses and how you are going to pay them is the best way to attack poor credit.

2

Go to a local bank and open a savings account. Ask the bank about establishing an automatic deposit program to pay your bills and utilities on time every month.

3

Pay all bills and other payments on time. This will begin to raise your credit, as it shows you are being responsible with your money.

4

Apply for a secured credit card, and use it to make small purchases from time to time. Pay off all charges and monthly payments on time. If you are late you will not only hurt your credit, but your interest rates on your credit card will go up.