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Once you have purchased our credit repair service, here are a few tips on getting your results expedited. These activities will enable the FixCreditBiz credit repair specialists to get your case rolling smoothly. Remember, credit repair is a process, but you can help it along
- Be prompt in sending the required correspondence.
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The correspondence you will receive by mail from the credit bureaus are our sole indication of your credit repair progress. They inform the credit repair specialists working on your case of the actions taken by the bureaus, and allow them to respond accordingly. To ensure timely responses, please forward all correspondence from the credit bureaus (Equifax, Experian, and TransUnion) no later than two weeks after receiving them in the mail. Fax is the fastest method. Delays in your sending this correspondence causes delays in your credit repair status.
- Build positive credit.
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Positive Credit can come in a couple different types. The strongest positive credit is open accounts that have never been paid late. Closed accounts that were paid off and never paid late are too positive credit however these credit lines do not carry the point value of open never paid late credit lines. Fact most low interest rate lender programs for home mortgages require a minimum of three open positive ( Never Paid Late ) credit lines. A secured credit card can help build your positive credit. When looking for a secured credit card, look for the following:
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1. Guaranteed approval
2. Security Deposit is FDIC insured
3. Low Fee setup
4. Low Security Deposit
5. Reports to all 3 Credit Bureaus Monthly
6. No Credit Check
I tell all my clients that need to strengthen their credit use these cards to purchase gas once a month and then pay it off early every month and in ~ 6 months you should be able to qualify for an unsecured credit card. After you get your unsecured credit card you can cancel these credit cards and get your security deposit back. Basically this is what it takes to get your credit back on track when your situation requires the addition of Positive credit lines.
- Avoid further debt. During the time we are working on your case, try to avoid entering into further debt. This includes defaulting on current debt and aquiring new financing.
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Paying off collections? It is very important that you understand how the paying of collections impacts your credit report. For this discussion let's imagine you have a $65 medical collection. I know what you are thinking let me just pay them the $65 and get this taken care of. There are a couple of different scenarios when you pay a collection:
- 1. The collection agency collects your $65 and then just sells the debt to another collection agency.
- 2. The collection agency collects your $65 and then updates your credit report to a zero balance indicating that you no longer owe this debt. Now for the bad news-- you just lowered your score. When the collection agency updated your credit report to a zero balance it also updated the date of last activity. When a negative item is fresh it carries a higher point value then after it seasons for a while. In summarization, You just paid money to lower your credit score !
- Our process is setup to permanently remove collections whether the debt has been paid or not.
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