Credit Repair Skipping to Build
There are always solutions when it comes to repairing your credit. We sometimes
go through problems in life that makes our life hard to manage. Sometimes we
simply have to skip ahead in order to get ahead. If you have late bills and see
that you can't meet these expectations be sure to make contact with your
creditors letting them know your situation.
If you have a situation that has put
you out of work due to disability, you can let the creditor know that you will
have a pension or other type of allowance coming soon. This will stall your
creditors and when you get the money you can put forth the effort to repairing
If you are renting and have showed good payments in the past with
your landlord you might ask him/her if they can wait a bit longer on payment so
you can get caught up. If you are trying to save money to repair your credit,
you might even want to look for a cheaper home to lower your costs.
On the other
hand, if you own your home, you might want to look into some different options.
If you see that your payments are going to be late in the next few months, it is
always wise to contact your bank lender. If you made good payments in the past,
lenders are often happy to waive late fees, unless it is interest only
If you appear to have a long-term financial situation your lender may
offer a refinance option to help reduce your monthly mortgage payments. If the
lender is not willing to help you find a solution you might want to check out
other banks. Remember there is always an option. If you run out of revenues you
might even consider selling your home. The solution is always best since innumerable
people are searching for homes that are repossessed or in foreclosure, or
nearing one or the other.
Another option is giving the lender the keys and
walking away from your obligation. This is an option if you owe more for the
home than what it is worth. There are some displus points and plus points to any
option you choose. The best solution is to estimate your monthly take home pay,
and find a solution to making ends meet.
When you take out a mortgage a wise man
will often calculate all aspects before signing an agreement. Often, innumerable
homeowners take out a loan however and neglect to factor in long-term financial
This is when it often fails and credit repair goes in motion.
the most part, refinancing or else asking your creditors for an extension is
often better than walking away from your debt. Some borrowers might hire a
lawyer hoping that they can help.
In reality those lawyers will charge you more than
you probably owe to help get the creditors off your back. Once your debts are
paid, you might need another lawyer to get the first lawyer off your back.
Taking the smartest path to repairing credit is always wise. If you see that you
are overwhelmed with debt you might even want to consider Bankruptcy. Chapter 7
Bankruptcy is often a better solution than Chapter 13. Chapter 7 will free you
from your debts permanently, with the exceptions of any current bills. The
problem is when you file Bankruptcy, whether it is 7 or 13 it goes on your
credit and you have another problem.
In one way you repaired your credit, but by
no means are you on the road to building your credit-history.
Yes, it is true
you can often get another car or home with a bankruptcy against you, but, I know
that you will be searching high and low before you find the companies that will
give you a loan. Bankruptcy stays on your record for ten years. So as you see,
sometimes we have to skip ahead to get ahead. Skipping one bill to pay a more in
demand bill is not all-important a bad thing. It takes a couple of months before
your bills go to the 3 bureaus.