Four Ways To Fix Bad Credit

1. Develop a budget..STOP ALL CREDIT TRANSACTIONS NOW! Hide or destroy all credit cards now and focus on creating an emergency cash fund. Saving as little as $15 a week can make a huge difference. Make coffee at home stop your gourmet coffee stops, take you lunch to work avoid "going to the local fast food joint", rent a movie instead of going to one, go to the salon once a month instead of twice a month, etc... Learn to live off of 85% of your income instead of 110% of your income, you will be amazed that you can. Stop using credit cards for non emergencies and then you will be able to manage your inflow of cash and more importantly your outflow of cash.
2. Contact your creditors, they are standing by. Ask for a lower interest rate, most of the time they will have one if you have been paying on time and been a customer for a while. Ask for a settlement (note, if they agree to a settlement they would want it paid off in 2 to 4 payments) but the debt can be reduced as much as 30-40%. Then they will send a settlement letter to each of the credit bureaus.
3. Consolidate your debt (I did) and my stress level was reduced by 50%. Some of my creditors once notified I consolidated my debt offered me a ZERO percent interest rate and a lower monthly payment...WOW!
4. Avoid bankruptcy if you can because of the long lasting effects. Bankruptcy can make it difficult to attain a job, life insurance, and future credit. Chapter 13 and Chapter 7 bankruptcy allows you to keep property that you would otherwise lose BUT pay off a default amount for 3-5 years. Chapter 7 liquidates all of your assets that are not exempt. Property is turned over to creditors or SOLD by the court. WOW!
HELP FOR HOMEOWNERS IS OUT THERE,There are lots of programs for first time home owners and low income homeowners. Visit www.MyFirstTexasHome.org

Be blessed and post comments or questions if you want to.