Credit Rating: 7 Methods to Persuade Credit Rating Agencies

By: Faranak Groves
You have to accept the fact. You are a spendthrift. Your credit record is poor. You have missed payments. Besides, you have applied for a number of loans. Is all this a crime? Never. You are no different from a lot of other people.

A few people would advise that you have to alter your thought process to adjust the way you spend. Of course, simply change if that's possible. But, this essay is not intended to change your character. As a rule, this can't be changed.

As a result of the way you spend, your bad credit rating is harming you in a big way. You desperately want to better your credit worthiness, and fast. I am going to show you how you can fool the credit rating organizations into believing you're on the road to credit worthiness. Just adhere to these 7 tips faithfully, only for the next 90 days. Of course, you can carry on abiding by these after that period, if only you can.

1. Keep To A Budget

For just the next 90 days, religiously follow a budget. Manage your spending, week by week. Do not spend on something that is not absolutely necessary. This must be done for the next 90 days until your rating gets better.

2. Keep Your Payment History Under Control

The way you have paid your card out standings so far has impacted your credit worthiness negatively, correct? For the subsequent 90 days, purchase only essential items using your credit cards and settle all dues on time.

You draw the attention of the credit bureau if you possess more that two cards. Rather than have many cards with large sums due on all, take a low interest loan to pay off some of them. Keep the older cards which count for more points when your rating gets better.

3. Do Not Delay Payments

Just for the next 3 months, don't wait till the last moment to pay off loans or bills that appear on your credit report. Even if some days of grace are available the loan will still be shown on the report, thus harming your rating. Dupe the rating agency by paying ahead of time.

4. Pay More Than The Smallest Amount Permitted

Another method of deceiving the rating bureau is to settle more than the least permissible. By doing this, you reduce on interest and don't owe as much. Make certain the outstanding in the card is well under the limit in the coming 90 days.

5. Be Careful Of Consolidating Debts

The surest way of signaling to the credit bureau that you have a problem paying your debts is to repeatedly take loans, to use to wipe out older ones. Another alarm bell goes off when you take new cards, attracted by special offers. Do debt consolidation selectively, and only if absolutely necessary, for the next 90 days. Even if you are simply checking out on what is being offered, never give out your name and address, if possible.

6. Beat Them To The Draw

If you are not able to make a payment, speak to them and tell them what happened and before they set their collection agencies after you, which would damage your rating very seriously. When you speak to them, you can negotiate better if you have something to propose. Give them help in devising another repayment schedule. If you have a say, pick an extended repayment period if the lower installment will make it easier for you to repay, while sending a message that you want to repay.

7. Correct Credit Report Mistakes

Sometimes, mistakes occur in your credit report. If these are not corrected in time, they hurt your credit score. Follow up with the credit bureau to make sure such mistakes no longer appear on your credit report. You may have to plead your case regarding the mistake, as the bureau employees may not concur with you on the matter.

Append your clarifications to your report. Still, make sure, to steer clear in your comments from finding fault with anyone. Let them know you feel that any mistakes were unintentional.

Once the plan is accepted, ask that the debt not be reported to the credit bureau. If your track record of payment on the revised plan is excellent, they are likely to concede to your request.

You only have to do this for 3 months and can then relish the feeling of authority and assurance you will get.

If you require a still higher rating, maybe you should increase this 90 day time period to 180 days or more.
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