How to Clean Up Your Credit Effectively

How to clean up your credit is a question that many consumers have who pick up their credit reports and see a credit score they do not like. Unless you have a perfect credit score of 850, you are likely going to want to try and clean something up with your credit score to improve upon it to move into the next level of credit.

There are some easy tactics you can take to try and clean up your credit effectively, and in a pretty efficient manner if you take it one account at a time.

The first thing you may want to do is to analyze your credit report, and see where the negatives are harming your credit. If you have an account which has one late payment on it, but other than that you have been a good customer paying on time, reach out to that lender. It is not uncommon for a lender to erase the one late loan payment you made so that it disappears from your credit history, especially if you were timely with all other payments. These are referred to as goodwill adjustments and can go a long way to helping your credit.

Another way to clean up your credit effective is to first pay down those credit cards to a reasonable level. They do not have to be paid down to zero, but the major credit bureaus will look to see if that credit card balance is at a certain percentage threshold below the actual credit card limit.

Once you have that credit card paid down, try to keep your charges to 30% of less of the limit of that particular credit card. This can go a long way to trying to clean up that credit score.

If you have one card with a huge balance and others with a small balance, it may also make more sense to spread out those balances to keep that ratio of charges to credit limit as small as possible.

For more advice on how to clean up your credit effectively, reaching out to credit service companies such as CRECreditServices.com can also help.

http://www.crecreditservices.com