Credit Repair Criteria

Credit repair is the process of improving your credit score and cleaning up your credit report. You can hire a firm to help you with credit repair, but the potential for credit repair scams make do-it-yourself credit repair a better choice, according to the Federal Trade Commission website. Create a set of credit repair criteria that you will use to help improve your credit score and strengthen your financial future.

Credit Reports

Your credit repair criteria needs to include a review of your credit reports. You are allowed to order one free credit report every 12 months from the three major credit reporting bureaus, according to the Federal Trade Commission website. Review your reports to determine if your personal information, such as previous addresses and Social Security number, is correct. Analyze your credit accounts to ensure the old accounts reflect an accurate status and that current accounts list the right available credit and payment history. Use the dispute process outlined on each report to make corrections. When you are repairing your credit you will need to review your credit reports regularly. Getting your reports for free at first can help you get started, but using a monthly subscription plan to see your reports any time you need to will help you monitor your credit score properly.

Report Everything

Some creditors such as department store cards or gasoline cards may not report your credit activity to the credit bureaus, according to Dani Arthur, writing on the Bankrate website. Contact your creditors that do not currently report your activity and ask them to submit your information to the credit reporting bureaus. It helps to have as many accounts in good standing as possible when trying to repair credit. Older accounts with a good payment history that are not listed on your credit report should be added to improve your score.

Maintenance

Your credit score will benefit from the sensible use of your current credit accounts, according to Liz Weston, writing on the MSN Money website. Do not allow your credit card limits to become maximized, but do not be afraid to use your cards either. If you can maintain a balance that is between 10 and 30 percent of your card limit, that activity will benefit your credit score. Ongoing credit maintenance is important to repairing your damaged credit.

Keep Records

The process of credit repair requires collecting credit reports, sending correspondence to creditors and reporting bureaus and the detailed examination of credit statements. In the course of disputing or repairing something on your credit report, you may be asked to produce a copy of a letter or form you submitted previously. Your credit repair criteria needs to include a record-keeping portion that files important papers in a safe place and makes them available when needed.