Fast Credit Repair Secrets
Posted on | March 15, 2009 |
Best Way to Settle Your Credit Card Debt FAST:
Do It Yourself Debt Elimination Debt Settlement
I got told to always pay off my cards etc in full every month when I started to investigate credit repair This was one of the best credit repair secrets I was given. This I was told from a number of people. This is not the truth. The more important aspect I discover was my debt to credit ratio and then a simple way to repair your credit score.
First you must understand your debt to credit ratio as it is the most ignored factor in credit scoring. In simple terms it is what you have spent put agains what you have in total available.
For example:
Your available credit = $10000
Your current debt = $2500
Your debt/credit ratio = 25%
Why do lenders like to see you DON’T pay off all your billsWhy wouldn’t lenders want you to have a clean account every month? For a start they make more money from interest charges, and by keeping a balance you also show you are a payer.
So how can you exploit the ratio and improve your score by having an outstading balance?.
The single most cost-effective tool is the use of a sub-prime store merchandise card which reports to one of the major credit bureaus. These cards are often misunderstood because of the way they are marketed either by email or on the Web. Most of the time people don’t like them, or trust them because of the outrageous claims they make, but many are real.
How does it work?
You need to apply for a card that is good for purchases from just one place, like a catalogue or online store.
Anyone gets approval and you will get a line of credit of $5000 to be used only at that place. When you make a purchase you will need to give a deposit and then finance the rest. So, for example you buy $1000 of stuff, put $300 down and make payments on the $700 balance.
The fast credit repair secret is that the bureau treats it like a normal card. So, instantly you have upped you limit, have a good debt-to-credit ratio and you are maintaining a balance. You will then receive pre-approved offers from other lenders who have got your details from the credit bureau. So you can do credit repair yourself.
Tags: credit repair secrets > credit secrets revealed > fast credit repair
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