Credit Repair Skipping to Build
There are always solutions when it comes to repairing your
credit. We sometimes go through problems in life that makes our
life hard to manage. Sometimes we simply have to skip ahead in
order to get ahead.
If you have late bills and see that you can't meet these
expectations be sure to make contact with your creditors letting
them know your situation. If you have a situation that has put
you out of work due to disability, you can let the creditor know
that you will have a pension or other type of allowance coming
soon.
This will stall your creditors and when you get the money you
can put forth the effort to repairing your credit. If you are
renting and have showed good payments in the past with your
landlord you might ask him/her if they can wait a bit longer on
payment so you can get caught up.
If you are trying to save money to repair your credit, you might
even want to look for a cheaper home to lower your costs. On the
other hand, if you own your home, you might want to look into
some different options.
If you see that your payments are going to be late in the next
few months, it is always wise to contact your bank lender. If
you made good payments in the past, lenders are often happy to
waive late fees, unless it is interest only mortgages.
If you appear to have a long-term financial situation your
lender may offer a refinance option to help reduce your monthly
mortgage payments. If the lender is not willing to help you find
a solution you might want to check out other banks.
Remember there is always an option. If you run out of revenues
you might even consider selling your home. The solution is
always best since many people are searching for homes that are
repossessed or in foreclosure, or nearing one or the other.
Another option is giving the lender the keys and walking away
from your obligation. This is an option if you owe more for the
home than what it is worth. There are some disadvantages and
advantages to any option you choose. The best solution is to
estimate your monthly take home pay, and find a solution to
making ends meet.
When you take out a mortgage a wise man will often calculate all
aspects before signing an agreement. Often, many homeowners take
out a loan however and neglect to factor in long-term financial
situations.
This is when it often fails and credit repair goes in motion.
For the most part, refinancing or else asking your creditors for
an extension is often better than walking away from your debt.
Some debtors often hire a lawyer that tells them we can help.
The fact is those lawyers will charge you more than you probably
owe to help get the creditors off your back. Once your debts are
paid, you might need another lawyer to get the first lawyer off
your back.
Taking the smartest path to repairing credit is always wise. If
you see that you are overwhelmed with debt you might even want
to consider Bankruptcy. Chapter 7 Bankruptcy is often a better
solution than Chapter 13. Chapter 7 will free you from your
debts permanently, with the exceptions of any current bills.
The problem is when you file Bankruptcy, whether it is 7 or 13
it goes on your credit and you have another problem. In one way
you repaired your credit, but by no means are you on the road to
building your credit history.
Yes, it is true you can often get another car or home with a
bankruptcy against you, but, I know that you will be searching
high and low before you find the companies that will give you a
loan. Bankruptcy stays on your record for ten years. So as you
see, sometimes we have to skip ahead to get ahead.
Skipping one bill to pay a more in demand bill is not necessary
a bad thing. It takes a couple of months before your bills go to
the 3 bureaus.