Here’s a Plan to Help You Repair Your Bad Credit Score

I had collection agencies hot on my tail. I couldn’t shake them. I was too proud to declare bankruptcy and live the next ten or twenty years with bad credit, but I had a very bad habit of only making my debt worse when I wasn’t just treading water. The one thing that was working in my favor besides my own stubbornness and determination was the fact that I never felt alone in my troubles. No matter how mean these collection agencies came across I knew that we were still working on a general contract together and it benefited us both to come to a positive solution where I was able to pay off my debt.

Creditors are not the enemy, but your spending habits might be

I think a lot of people think that creditors enjoy burying people in debt, but it doesn’t quite work that way. They really just want you to borrow some money and pay it off in a timely and consistent manner, and then do it all over again next month. I learned during the long road back from debt crisis that the most important thing is to be consistent with your payments. I’ll take a moment to explain.

• If you are here right now wondering how to do bad credit repair yourself then the first step should be obvious. STOP ACQUIRING NEW DEBT. Stop using credit cards. Use cash or check.
• Get a grasp of what you owe. Consolidate your debt for easier payment schedules. Transfer the balance of a credit card with high interest rates onto a credit card with low interest rates.
• Pay your debts on time each month. Missing payments hurts your credit score. Pay more than the minimum. This will affect your credit score positively.

Turn it all around

When I decided enough was enough I took my credit cards and put them in a lock box in my home. I then got organized and took out all my income pay stubs from the previous 6 months and lined them up with the bills and debts I was accumulating. At my kitchen table I came up with a personal debt to income ratio. This gave me a big picture idea of what I was up against. I took out a calendar and set some goals for myself that I hoped to achieve throughout the year in regards to paying off my debt. For instance after three months I made note that if I made payments according to my plan I’d have paid off $1,000. Each week I made sure to put money aside to be able to pay about $335 towards my credit card debts. By becoming organized and responsible with my payments I built some momentum towards paying off debt.

How do you repair bad credit? Become responsible with your payments and pay more than the minimum each month. How do you rebuild your credit over time? Stick to the above mentioned plan for however long it takes. Many people have come back from crippling debt and you can too. To learn more about debt recovery plans visit www.credit-yogi.com. They also have access to the best credit repair services in the country. For a free consultation call them directly at 1-866-964-9644.

When it came to my son and his credit card I was apprehensive about how he would manage it once we let go of the reigns after he got out of college. Life was now his mistake to make as we could no longer say "You aren't an adult yet. When it is your money you are spending then you can do what you want with that piece of plastic." Of course the only time using a credit card ever feels like you are spending your money is when a bill comes in the mail. The rest of the time its invisible money and quick satisfaction for things you really might not be able to afford. I worried since we had shamelessly spoiled him growing up and I don't really think he knew how to manage his time and money responsibly. He also couldn't find a steady job straight out of college and resorted to the local music shop, or deli for a meager weekly paycheck. Although he wasn't making much he'd still come home with new toys quite often like expensive video games, books, jackets etc. I knew he probably just slid his card through and walked away. "Don't worry mom, I'm making the minimum monthly payments!" Hmmmm... he had no idea what life would be like in massive debt. In fact it didn't take very long at all for him to understand.

                Eventually he moved out when he acquired a decent job that could afford a place of his own. I was proud of him but being a mom I never stopped worrying. Occasionally he'd call home saying he'd need a little help with rent or groceries, but surprisingly I never heard much about his credit card debt that had steadily built up while he was still living with me. Several years went by when one afternoon I received a frantic call from him complaining how he had lost his job a few months back and had been trying to pay his bills through unemployment checks but was really behind on his credit cards, of which he now had two. After scolding him for not having told me of his troubles much earlier I immediately set out to find a solution. He said the credit card companies had begun calling him regularly asking what the situation was, and threatening him with the law. We both looked up his credit score and it had plummeted to new lows, if it had ever been much to begin with... "Calm down, lets both seek professional help and figure this out. The credit card companies don't want to ruin you, they just want solutions." I tried to calm him but the truth was I didn't know much about credit debt. Well, we found a site in our frantic searches called credit-yogi.com that was very helpful. We found out immediately how to stop the damage and start restoring a credit score.

- Stop using credit cards altogether and seek help from a professional in the field of credit repair

- Begin attempting to pay of the cards with the lowest balance first

- See if your credit card company is willing to negotiate different terms of payments. If so a professional representative can help you in the negotiations.

- The most important thing on how to fix a credit score for free is to make your payments on time. You will see results immediately.

                Thanks to credit-yogi.com and their advisors we were able to find a legal credit repair company that offered bad credit repair service. My son began his recovery and began to understand the dangers of credit card debt. No doubt he will return to this website for further advice in the future.