Not one of us is without some sort of understanding of how a bad mark on a credit report can negatively affect our credit standing. For some it’s definitely worse than it is for others, but we all fall into one of just a few categories. We are either Mr. or Mrs. perfect or almost perfect, OR we have some bad marks, but we can still get a decent loan on a house or car, or we have such bad credit that when we try and get a loan we get laughed at.

It doesn’t matter which category you fall under you should have some knowledge of how to remove bad marks. The bottom line is sometime between now and when you die you will face the challenge of a bad mark against your good name. Having the knowledge of removing such a bad mark whether it’s your or not is truly an asset.

There are no guarantees when it comes to fixing your credit, but a little knowledge of the following and some persistence can provide you with some amazing results and those results can save you literally thousands of dollars, even thousands of dollars a year. Think about it.

The first thing you need to do is order all of your credit reports. This requires an online free credit report service or a written request to Experian, Trans-union and Equifax. So step 1 is simply order your reports. Step two is to go through them with a fine tooth comb and sort out the good credit from the bad credit. Once this is done your next objective is to challenge the accuracy of the mark. Common sense most be used in this step, consider the type of blemish and the likeliness of a favorable outcome.

Again simple common sense tells us that if its a large unpaid recent debt, then someone will likely respond and they are likely to call you as well. This call should be welcome, it’s a chance to negotiate the debt pay it, and then re-challenge the accuracy of the information. (Follow me here.)

Motivation on the part of the creditor is what it’s all about. Some will respond to anything but most will respond only when there’s an underlying benefit, like getting paid. If the bad mark is a settled debt, or very old then the creditor / collector may not be inclined to stop what they are doing to reply to the bureaus.

The key is to get the bad mark to a point where there is no benefit for the creditor to respond. Yes they have people for this, specifically to handle these inquiries, but systematical bombardment will likely turn in your favor, especially when there’s no money on the line.

I personally like to write directly on the credit report - “This item is not accurate, I have never been late on any payments to this company. - Please verify and remove and forwarded me an updated copy of my credit report upon completion of your investigation.”

The steps to clean credit are a lot of fun. Experiment with your credit reports and you will see some amazing results. You should even consider offering the service to your community, you can make some good money helping others fix their bad credit.

Tags: Credit Score