The first step to repairing credit is to order your credit report and then study it carefully to make a note of the negative elements in it which could be pulling your scores down. These could be errors on the part of the credit agency while putting together your report as well as your high and over the limit balances among other factors.
Errors: There can be big errors in your credit report, which would not be a surprise because 25% of credit reports have been known to have grave errors while close to 79% have some sort of error in them. That is why you must scan your credit report for inaccurate information which could be hurting your credit. These may include incorrect accounts, unofficial inquiries, inaccurate public records, incorrect late payments and other errors. You can have them removed by submitting a credit report dispute with the aid of credit repair software. You have every right to demand their removal if the credit bureaus fail to prove the accuracy and completeness of an item.
Late Payments: Payment history accounts for 35% of your credit score and if you have been lagging behind in repaying your dues, your credit score will plummet.
Charge Offs: These look really bad on your report and you must try to strike a deal with creditors and debt collectors to remove charge-offs and collection accounts from your credit report.
Over-the-Limit balances: The safe debt amount is 30% or less or your credit limit. Level of your debt has a huge impact on your credit score; try to keep it in control.
Bankruptcy, Foreclosure, Paid Tax Liens, Paid Judgments: These cannot be removed from your report, but try to look for any inaccuracies in them and then dispute them in the process of credit repair. In case of bankruptcy or other delinquencies are present on your credit report, the road to credit repairing begins by adding positive payment history.