At CFAM Credit Solutions we not only want to help repair our client’s credit profile by removing incorrect negative information, we also want to help educate them on ways that they can rebuild by adding positive credit to their credit reports. There are several things a person can do to help add positive credit.
Apply for a secured credit card:If your situation is that you will not qualify for an unsecured credit card, than a secured credit card may be a great option. Secured credit cards require a deposit into an account to serve as security for the card ($500 or so). You should focus on making the payments on time so that you can begin to add positive credit to your credit bureaus. Here is a helpful website that lists several secured credit card options.
Become an authorized user on a family members’ credit card: Being added as an authorized user (AU) on a family members’ credit card can help add positive credit. When added as an authorized user, you will be issued a credit card (which we would encourage NOT to use) and that trade line will begin being reported on your credit bureau. In this respect, our clients can benefit from their family member’s positive credit. We obviously would encourage our clients to make sure the family member is using that credit card responsibly so that they are benefiting from a positive score. Note: FICO has built into their score an authorized user fraud prevention algorithm to help detect non-legitimate piggybacking. So being added as an authorized user is only helpful if there is a legitimate relationship (i.e. husband/wife, parent/child, etc…).
Credit Unions: Establishing positive credit requires a mix of credit types (revolving and installment). Often times, credit unions are a more gracious in dealing with consumers with less than stellar credit. We encourage our clients can apply for a small ($1000 or less), short term (12 months or less) installment loan which, when properly repaid, can add valuable points to the credit score.
Here are some other suggestions on how you can begin making some changes.
· Pay your bills on time. This sounds simple, but this is the biggest thing you can do to keep your score high. Delinquent payments and collections have a major negative impact on your score.
· Keep your balances low on unsecured revolving debt like credit cards. High balances still owed can affect a score.
· The amount of unused credit is an important factor in calculating your score. You should only apply for credit you need.
· Make sure the information on your credit report is correct. If it is not, dispute it with the Bureau Company or lender directly.
· Removing negative accounts on your credit report has the biggest impact on your score.
How Credit Is Counted:
· 35% Payment history
· 30% Amounts owed
· 15% Length of credit history
· 10% New credit
· 10% Type of credit
– Stay away from small department store cards; they have a low limit and tend to bring down your overall score.
– You must use credit in order for it to report to the bureaus.
– If you do not use a card it may be cancelled by the bank – this WILL hurt your score.
– Never use more than ½ of your available credit line.
– Ask for line increases.
Why Use CFAM Credit Solutions?
We are experts: Why try to fumble through the credit repair process when we have “been there and done that” hundreds of times for other clients. We know the rules and regulations and the processes that are most effective.
We have more resources: Our staff works day in and day out working to improve our clients’ credit history.
We have the time: Can an individual perform their own credit repair? Yes and we are required by law to disclose that (which we do in our contract), but let’s be honest. Life tends to get in the way. Credit repair is a time consuming and cumbersome process. Prospective clients have demanding schedules – family, job, kid’s sports, etc…
We are licensed and bonded: We know how to dispute your credit reports in a way that has produced excellent results. CFAM Credit Solutions has helped thousands of customers restore their credit.
You have a legal right to dispute your credit profile!
The Fair Credit Reporting Act gives you the legal right to dispute items on your credit reports that may be inaccurate, out of date, incomplete or unverifiable.
It is your legal right to dispute items on your credit report. CFAM Credit Solutions exercises your legal rights pursuant to the Fair Credit Reporting Act, the Fair Credit Billing Act, Truth in Lending Act, and Fair Debt Collection Practices Act, as well as other applicable Federal Statues.
CFAM Credit Solutions helps consumers with credit reports that contain information that is inaccurate, misleading, and incomplete.
Need Help? CFAM Credit Repair ~ To get started on repairing and rebuilding your credit ~ www.ElevateMyScore.com