Good Credit in 6 Steps

Are you tired of having to deal with your poor credit history and only having access to bad credit auto finance options? You don't have to live you're your bad credit forever. There are actually a lot of ways you can help bring your score up. Don't wait any longer, start improving your score today with these helpful tips:

• The first step to improving your credit should be finding out where your score stands! Many people are unaware that they are entitled to a free credit report from each of the major credit bureaus once a year. That means you should be able to check out your report several times throughout the year without paying a dime! Pull up your score online so you know exactly where your score is hurting.
• Another good reason for checking up on your credit report several times a year - making sure your identity hasn't been stolen. Thousands of people have had their credit scores ruined due to identity theft. The crime can potentially cost you thousands of dollars and the long term damage to your credit report is immeasurable, so stay vigilant in keeping your information safe.
• Once you've seen your credit report, coming up with a custom budget should be fairly easy. You can start by calculating your income and subtracting any static monthly expenses, such as rent and insurance. Whatever income you have left should be spent wisely and probably put toward paying off debt. In most cases, you should start by make the largest payments on the largest debt with the highest interest rate.
• While some financial advisors might tell you to close your credit accounts in order to improve your score, you're probably better off keeping them open. Closing older accounts decreases your credit history, which is a major factor in determining your credit score. Generally, the longer your credit history, the better shape you'll be in for bad credit auto finance.
• Always make your payments on time, even if it means having to pay to make a "rush payment." If you're worried about being late, call your lender and ask your due date to be pushed back a couple of days. Most lenders are more than willing to give their customers extensions, especially if they've paid on time in the past. While you're at it, don't be afraid to ask your creditor for a lower interest rate too. A simple phone call could get you a significantly lower rate.
• Finally, if possible, avoid bankruptcy at all costs. Declaring bankruptcy will haunt your credit score for years to come and it'll make taking out a new loan or credit card all but impossible. You've already put so much hard work into improving your credit, there's no point in throwing in the towel now. Ride out the tough times for as long as you have to, because declaring bankruptcy will only makes things more difficult.