Free Bad Credit Repair
Are you looking to repair bad credit for free? You need to avoid all the credit repair scams and use free was to fix your bad credit for free. Instructions The first step to repair your bad credit for free is to check your credit report and contest any mistakes you find. The second step is to pay down your credit card balances the lower percentage of available credit you use the better. If you have had late payments in the past make sure to pay all bills early and your credit will get better gradually. The most important step is patience. You will need your good credit skills now slowly overtake your bad history. The more years the bad history is in the past the higher your credit will climb. Just keep paying down your balances and try to avoid new credit balances. The reason you can repair credit for free is because time is one of the main factors. Negative information on your credit report usually has to be removed within seven years. You will not have to wait seven years for better credit your credit score will gradually increase as you use credit responsibly. Why You Have Different Credit Scores If you've ever purchased a three-in-one credit score, you might have noticed that your credit scores are different among the three credit bureaus. As if understanding your credit score wasn't difficult enough, having different credit scores makes it even tougher to understand. Here's why that happens. Credit Bureaus Use Different Credit Scoring Models Each of the credit bureaus uses a different model for calculating your credit score. According to Fool.com, Equifax is the only credit bureau that sells the FICO score to consumers. Equifax uses the term BEACON to refer to the credit score that's sold to other businesses. The score ranges from 350-850. Both Experian and TransUnion developed their own credit score calculations based on the FICO scoring model. The Experian credit score, known as Experian/Fair Isaac Risk Model or PLUS, ranges from 330-830. The TransUnion score, also known as EMPIRICA, ranges from 300-850. Credit Bureaus Have Different Credit Report Data Credit bureaus collect data independently of each other - and they typically don't share it. Not only that, your creditors and lenders might report data only to one or two of the credit bureaus. So, your Equifax, Experian, and TransUnion credit reports might all look different from each other. Each credit bureau calculates your credit score with the data in its credit file. For example, Experian calculates your credit score with the data in your Experian credit report. So, if you have a collection account that appears on your TransUnion credit report, but not on your Experian credit report, then your TransUnion credit score might be lower. Which Credit Score Is Your Lender Using? Lenders usually have established relationships with one or more of the credit bureaus. You can ask your lender from which credit bureau it purchases credit scores (they may or may not tell you), but you typically can't request that your lender use a certain credit bureau to retrieve your score. Most lenders use the FICO score developed by FICO, the company formerly known as Fair Isaac. You can purchase your FICO score based on Equifax and TransUnion credit reports from myFICO.com. Unfortunately, consumers are no longer able to purchase Experian-based FICO scores. Lenders may still use the Experian-FICO scores. Don't just continue to live with bad credit take action today to raise your credit score even if you have to hire a professional credit repair company to help you.
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For more about how you can dispute your credit report and how you can experience bad credit repair for yourself and without spending a dime visit us at http://www.howtodisputecredit.net/how-to-fix-my-credit
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