Make any records of any threats that a collector makes because it is illegal for them to do that. It is important that you are knowledgeable of the laws designed to protect the consumer. Paying off extant debts is generally priority number one when it comes to credit repair. The longer you put off paying off a debt the worse the situation is going to get, and this is not going to help you! When you pay your bills on time, you are keeping your credit score high. Whenever you fail to make your payments on time, your credit report is affected negatively. This can make it very difficult for you to take out a loan in the future. Determine a way that you can settle all overdue accounts using affordable time payments. Although these accounts won't be expunged from your credit report, they will reflect the fact that you have paid them in full, and the problems you have encountered as a result of having unpaid debts on your report will be reduced or eliminated. Make sure to review your credit card statement monthly to make sure there are no errors. Contact the credit card company right away if there are incorrect fees, so that they won't be on your credit report. If you want to get a higher credit score, try taking out some credit and paying it off as quickly as you can. This accomplishes two things. First, it puts your credit in better standing. Second, it demonstrates your ability to repay a debt responsibly. Avoid too many credit inquiries if you are looking to improve your credit. An inquiry is noted on your account any time a creditor requests your credit report. If you have credit cards where the balance is more than half of your credit limit, pay these down right away. When your debt is over 50%, credit ratings usually go down. With that said, try to spread out the debt that you have or try paying it off. Though it is an unsettling prospect, consider asking your credit card provider to reduce the amount of credit extended to you. This will help you accomplish three things: 1. You will avoid being overextended. 2. Credit card companies will begin to view you as responsible. 3. It will be easier for you to get credit as time passes. If your credit isn't so hot, but you need new credit to demonstrate responsibility, then look up your local credit union. Due to their focus on community finances rather than national ones, credit unions may provide better interest rates and more credit services than typical banks. Take a look at your credit report if you have a bad score. Any mistakes, such as in the amount owed or the date the agreement was entered, could result in the removal of the entire negative trade line on your credit report. Statements like these will only be ignored, so it's not worth the trouble. Do not draw more attention than needed to the bad marks on your report. Credit scores affect anyone who wants to get a loan or even co-sign for a child's student loans. Your low credit score can be rectified with the use of the simple tips described in this article.