How to Get a Better Credit Score and reduce debt

Some tis and recommended ways to raise your credit score

Difficulty: Moderately Challenging

Instructions

Things You'll Need:

• a few credit cards

1. Get your credit debt together and find out the total amount you owe

2. find out how much you have coming in, if it is less than what you owe we should work on one credit card at a time.

3. Pick the credit cards with the lowest balances and concentrate on getting that to zero as soon as possible.

4. Make the minimum payments on the others while you do this if you can. try to put as much leftover money into getting the cards to zero as possible. the faster you do this the better it will be.

5. Once you get the lower ones out of the way, tackle those big ones, dump as much as you can into the cards. One at a time

6. If you are so in debt that you cant make the minimum payments on any cards, then you have a bad score as it is, use the money you would to make the payments on all the cards, and dump it into the lowest one. Do this until you get it really low, and go to the next ones.

7. Once you get all your cards down, use them sparingly, but a pair of jeans, pay it off immediately or over 2 or 3 payments, buy yourself a $200 treat and do the same. Look at the cards as a loan and not a gift. it has to be paid back.

Tips & Warnings

• Don't close accounts this will not help your rating, do not us the cards anymore, go with the concept If you cant get it with cash you cant have it!
• Do not buy gas of food unless you are desperate, you end up paying 20% on food, do you want to pay an extra 20% for cereal and milk?

[jnusom]

on 11/5/2009 great tips well written 5*

[teaberrythyme]

on 9/29/2009 Good steps to get your debt under control.