Debt Settlement

First thing that you need to do is check your credit report for inaccuracies AT LEAST once per year and clean up credit report mistakes!

Go to www.annualcreditreport.com for a free report.

Next, here are three simple ways to boost your credit score:

1. 
   Pay your bills ON TIME. Although there is some FICO forgiveness for late payment on a small bill, don't push it - you're playing with fire.
2. 
   Use no more that 10% to 15% of the available credit on your cards. 
3. 
   Pay down as much of your debt as possible.

That's a good start to improving your FICO score!  Get our free report for seven ways to improve your credit score fast.

Debt settlement will have some bad effect on your credit. When a debt is settled for less than its full value, the creditor will note that on your credit report. The damage is much less than that of bankruptcy or default, and in most cases your credit will improve within a couple of years.Your credit score is fluid and it changes as your credit information changes. Anytime new information is added to your credit report, your credit score can change.

Here are a few ways how you can improve your credit rating.
1)Make Payments on Time~If you want to build and maintain your credit rating, pay your bills on time and don't miss any payments. If you have missed payments in the past, get back on track. Your recent payment history counts more than ancient history.
2)Pay Off Your Debt~Don't transfer it all to a credit card and then transfer it from card to card to card. If you just move around your debt you're not doing anything to pay it down. And even though all your debt might be on your credit card, your credit is still in danger. Financial experts recommend keeping your account balances less than 50% of your available credit. It shows that you have the ability to pay back your debt.
3)Establish Credit History ~Your credit rating is established partially on your credit history. Your credit history is based on the information that your creditors have reported to credit bureaus, including credit cards, loans, and even some utility bills.
4)Don't Apply for or Take on Too Many Credit Cards~Having and using a credit card wisely can be beneficial to your credit rating. However, if you're constantly applying for new credit cards, it can hurt your rating, especially if you're getting turned down for them.