If you have bad credit and are trying to work at fixing it, you know that it can take a long time. It can be difficult and is often quite involved, and it is easy to make mistakes while trying to fix things up. If you are working to repair your credit there are three huge mistakes that you will want to avoid if you want to be successful at repairing your credit.
Mistake#1 – Hiring a Scam Artist
There are so many scams out there that are preying on people who are trying to repair their credit. Even though measure are being taken to try to stop these scams from happening, there always seem to be more coming back. There are a few things you can see to clue you in that it is a scam. If they as for a lot of money up front, or want to create a new credit report for you, you can be very sure that this is a scam. Often you can work at repairing your credit by yourself, but if you do need help there are legitimate firms that can help you fix your credit.
Mistake#2 – Not Getting a Written Copy
Many people find places that give them great offers by phone, but it is much different later. It is important that any negations be done in writing. You will want to see everything that a credit card company is asking you for, and you do not want to rely on something that you heard. You want to have everything in writing so you can refer to it and you can prove it as well.
Mistake#3 – Statute of Limitations
Every state has a statute of limitations that gives creditors only a certain amount of time to sue you for a debt. Most states have a statute of limitations of between three and six years long. If you make a payment on one of your debts that is old, or if you even say that you do owe it to them you can reopen the statute of limitations. This will once again allow the creditor to seek legal action against you. If you are dealing with bad credit debts, then you will want to know what the statute of limitations are in your state.