Credit repair can seem overwhelming, for good reason. By the time a person needs credit counseling services, it can mean the credit score is low and needs to be addressed. There are so many ways a credit score can end up low, and it doesn’t always mean credit card debt has been racked up and gone unpaid. Medical expenses can add up if there are health issues. An accident might keep a person out of work and make it impossible to keep up with anything more than living expenses. Unemployment, car repairs, divorce, financial neglect, bills slipping through the cracks and many more scenarios can contribute to a poor credit score.

Here are some ways you can begin the process for credit repair:

  • Look at your credit report. Each person gets one free credit report annually.
  • Dispute any incorrect reports. It happens. Don’t let it sit on your report undisputed. If you have a question about something on the report, investigate.
  • Negotiate with creditors. Many times, even if there is an account that shows up on the credit report as unpaid, it can be erased instead of contributing to a lower credit score. Work out a repayment schedule with the creditor. It doesn’t hurt to ask.
  • Only spend what you can pay off each month. If using credit cards, don’t carry a balance. This will raise your credit score, showing you know how to manage your credit.
  • Once you get your debt paid current, keep it current, paying your bills on time.
  • When your debt levels are low, continue to keep your debt to income ratio low. The ideal ratio should be less than 30%, usually around 10%.

If you find some of these steps difficult or the creditors won’t budge, contact EFG Credit Solutions. We can help you take some of these steps, and we already have connections to the three big credit bureaus to help with credit repair.