Maintaining good credit standing can be a significant boost to your creditworthiness especially for future credit or loan applications with credit companies or banks. That’s why it’s necessary for you to protect your good credit by being a smart consumer. You should know when to and not to use your credit in life to help you maintain an overall good credit rating.

However, due to some unknown circumstances, you can still encounter a bad credit report that can be very stressful.

Your immediate solution for this would be to conduct a credit repair strategy (why not try this out) with the help of a legal and financial expert to help clear up any misunderstandings with the credit company.

As easy as it may seem, there are a lot of things you need to consider to avoid mistakes when pursuing credit repair. Try to bear in mind the following mistakes that you need to get around so you don’t run into trouble or consequences:

Mistake #1: Not Putting Everything on Record

Debt collectors are trained to play with your emotional and psychological vulnerability when they demand immediate payment from you. To some extent, some of them harass you and threaten you with specific legal implications to cause panic in you.

What you should do: In a composed manner, inform any debt collector that would be calling you to put everything into writing and send it to you via email. It would even be better if it were sent to you via snail mail so you have proof and delivery confirmation. If you and the debt collector have reached an agreement and it’s put into writing, it would be a valid and legal document that you can refer to for whatever financial transactions might transpire in your plan to clean up your credit report.


Mistake #2: Closing Your Credit Card Accounts

Don’t follow the mistakes of others—closing a credit card account with balance or delinquent payment entry that is unused. This will just jeopardize your credit score. For one thing, you’re leaving a bad impression that you like to run away from financial responsibilities. Another thing is you would be shortening the length of your credit history which happens to be a critical factor in determining your credit score.

What you should do: Face the music! Pay your balances and pay on time. You’re privileged to have been granted credit by a credit company among the thousands who applied with them so consider it, in a way, as a blessing. Maximize the benefits properly and work on getting out of using your credit card to pay for things all the time.


Mistake #3: Getting the Service of a Credit Repair Company

 Credit repair companies are scams in disguise. Most of them just like to rip you off by promising you that they can fix your bad credit report. However, if you put your faith in one credit repair specialist, you have to make sure that it’s legit and it has a long-standing record of assisting hundreds of individuals who need the immediate fix to their credit report.

What you should do: If you know your credit standing so well and you can meticulously spot any errors in your credit report, then why don’t you fix the problem. It would help you save money, and you would be able to educate yourself more in handling your credit correctly.

Mistake #4: Favoring Some Credit Card Payments over Others

If you think that it’s better to pay some credit cards which you think can be highly beneficial to you, compared with other credit cards you possess, it’s a big mistake. All these credit cards, whether they are major companies or not, are part of your credit history. So, if you favor only one versus three other credit cards, it’s just the same as escaping responsibilities on others.

What you should do: Treat all your credit cards fairly and squarely.


Mistake #5: Opting for Bankruptcy

Yes, it can help you get yourself out of a bad credit report especially if you file Chapter 7 Bankruptcy, but such move can be devastating to your credit standing. This record would remain on your credit report for seven years. Within that period, you’ll struggle to get approval for credit cards and loan applications.

What you should do: Consider filing bankruptcy to be the last of your long list of options. If you still can find ways to fix your bad credit report, go for it.



Consider your credit cards as your “life savers” as they offer you so many benefits during emergencies. Don’t take them for granted and don’t fill them up with useless things. Pay cards off immediately if you are collecting miles or use one as a monthly expense account.

If you have a bad credit score, it’s time to start analyzing your spending habits and your payment habits to see if you can turn things around. In time you’ll be able to do it so don’t give up!