Education Center
Can You Repair Your Credit Yourself?
Fortunately, the answer is yes, you can repair your credit yourself. But it might not always be smooth sailing as you go through the process of fixing your damaged credit. Let’s dive into the details of DIY credit repair and whether it’s right for you…
What is a Credit Score?
The credit score helps the lenders assess your chances of paying back the loan based on the information in your credit report.
Credit Scores Determine:
- Credit limit
- Approval decision
- Interest rates
What is a Good Credit Score?
Most credit scores range from 300-850. The higher your score is, the more likely you will get approved for credit.
Credit Score Ranges:
- 300-650 is considered bad
- 650-750 is considered fair to good
- 750 and above is excellent
How is my score calculated?
While there are different credit score models out there, there are a number of factors that
affect your credit score. Here are the elements.
- Payment history
- Amount you owe
- Length of credit
- Mixture of credit
- New credit
Buying a New Car with a Low Credit Score
If your credit score is below 600, then you could be paying an 11% interest rate on that new car, but if your credit score is above 661, then you are looking at an interest rate of 3.6%, which is a significant difference in your monthly payment.
Buying a New House with a Low Credit Score
The average interest rate for a credit score of 660 and above is 3.34%. If your credit score is lower than 660, then your rate will be even higher, and you may risk not getting approved for a loan. The rate for a credit score of 700 and above is 2.949%-2.727%, which means a lower monthly payment and a better approval rate.
Higher Credit Score Key Points:
- Lower monthly payment
- Pay less for the duration of the loan
- Better approval rate
Applying for a Credit Card with a Low Credit Score.
A credit score of 700 and above will get you access to prime credit cards with no annual fees, bonus sign-up points, and larger amounts of available credit, which will give you more purchasing power. However, scores below 650 may face high annual fees, maintenance charges, or even outright denials.
Higher Credit Score Key Points:
- Better approval chances
- Higher available credit
- No annual fees
Now that you have reviewed your credit scores and all inaccurate accounts, here are the next steps we will take to help you improve your credit score once you start working with our team.
Challenge Inaccurate Information & Score Improvement
We will identify and dispute all inaccurate and incomplete accounts along with assisting you with improving your credit score and rebuilding your credit.
Next Step Key Points:
- Fight inaccurate accounts
- Focus on improving your score
- Assist with rebuilding your credit
- Collector intervention assistance
Track Your Progress at All Times
We will keep you up-to-date with all aspects of the credit score improvement process through email and phone calls. You will also be able to log in to your private client tracking portal phone app or desktop portal 24/7 to get the latest updates.
Next Step Key Points:
- Track your progress 24/7
- Get regular updates
- Support when you need it
