Lazerloan Article On Bad Credit Scoring and Loans

This is a good 14 step guide for getting your personal spending and financial habits.

Sometimes a little rough around the edges, but there a few nuggets of gold in this piece.

The related video is about your FICO score. This woman is advertising her company really, but hey, it’s on topic!   

Begin article….

For consumers who want fix their bad credit score, there are a few options they can look at.

You can simply attempt to procure financing to clean up your bad debt, and hope for the best (I don't recommend that as your best option) or - the best way to fix your bad credit - use a step by step approach.

The step by step method detailed below is practical and I hope you will take the time to carry it out. You will find that fixing your fico score problem is not as difficult as you may have first imagined.

Step 1. Collect all paper work, bills, statements, receipts, and creditor documents you can find. Keep track of your credit lines.

Step 2. Track all debts on paper or on your computer.

Step 3. Only have credit cards you need. Don’t "collect them". Some banks see the credit you have as an existing loan.

Step 4. Set your credit limit according to your ability to manage payments. Just because a creditor gives you a massive credit line, does not mean you can afford to use it all.

Step 5. Never miss a payment and ALWAYS place your bills in one place so you don't miss paying them. I put them on a desk in my office. This is critical because you could damage your credit rating from simply mis-placing an outstanding bill.

Step 6. Pay back ALL your debt by consolidating your loans into one payment.

Step 7. Try to get approved for a low interest line of credit and pay off all high interest debts. Stop spending anything on wants and only spend on needs, at least until your debts are cleared up.

Step 8. If you are spending more each month than you net in income STOP now.

Step 9. Find out what your FICO score is so you know where you stand as far as your credit rating goes. Use this as a barometer as you work towards a good credit rating. Check out your credit score by going to a site like Credit.com, and get yourself a free credit report.

Step 10. Make payments on bills as soon as possible and don't let them ever build up. Write as few checks as possible because they can be forgotten and may cause a bounced check.

Step 11. Liquidate (sell) anything you can to pay off as much debt as possible.

Step 12. Do not get cash advances or "live" off your credit card(s). If you are that stage, you are likely in serious trouble financially. Start using the steps above to remedy this situation.

Step 13. Write down all the expenses you have on a monthly basis and decide what you really need. If you write down some expenses that you could survive without, get rid of them. Sell the car - take the bus, etc. etc.

Step 14. GET SERIOUS.....everyday you wake up think of fun and entertaining things you can do that DON'T cost money. You will be amazed at how quickly you will rebound.
Keep positive and STICK to your budget and program. Don't be afraid to get help from a local financial adviser. I can't stress this enough. People don't seem to realize that there are professionals who give guidance. Even if that professional help costs you some money, it's the best money you could spend.

Now, for a last resort, you can try some of the other bad credit lenders available online and off line. Be careful to make sure you read all the small print and don't get caught up in any ridiculous terms and high interest rates. When you are finally finished your education, be sure to keep your financial nose clean. All the very best to you in your future endeavors and your educational quests.

Fico Score – Related Video