There are more and more credit repair services advertised online and on the TV, but not many people know that bad debt help is closer than they think. It is possible to eliminate bad debt on your own, using the below DIY methods. If is not going to cost you a lot of money, and you will be able to see the same results as a professional debt management company, if you follow the instructions below.
Get your credit report
The first thing you have to do is to get a copy of your credit file. The good news is that it is currently available free through the Internet, and you can get it much cheaper than if you were ordering it as a part of a debt management plan. You have to have all the information detailed in there and get all discrepancies sorted out before you go ahead and start to eliminate bad debt.
Evaluate your credit commitments
You have to make a list of all your credit commitments and monthly payments. If you are struggling with bad credit, chances are that your credit payments are currently over your budget and you don’t have enough income to cover all your expenditure. The only way you can solve bad credit is to reduce your payments or increase your income.
Look for debt solutions
There are plenty of solutions available for you to eliminate bad debt, like consolidation loans or budgeting better each month. Ensure if the family budget is involving more than one person, you will sit down and look for solutions together. That way you can get everyone agreeing in the methods and next steps.
Eliminate bad debt
After you have found bad debt help by speaking to your creditors, advisors, or different agencies, you can start your debt consolidation plan. Start applying the debt solutions from day one and stick with them. You have to ensure you are keeping all the important dates of payments and salaries noted on your wall calendar, to ensure you can repair bad credit by making payments on time.
Repair bad credit
You need to ensure you are sorting out all the disputes and are setting up all your payments on direct debit. You are usually free to change your payment date, and it is advisable that you are also creating a spreadsheet to know when are your payments due. Schedule your repayments after your payday and stick with the plan. You have just saved yourself a lot of money by not paying for a costly debt management plan.